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Full text of "Report of the Auditor General to the House of Commons (for the fiscal year ended 31 March 1942)"

Digitized by the Internet Archive 

in 2012 with funding from 

University of Guelph, University of Windsor, York University and University of Toronto Libraries 



http://archive.org/details/reportofauditorg4142cana 





41 




£- 




AS 5 


DOMINION OF CANADA 



REPORT 



OF THE 



AUDITOR GENERAL 



FOR THE 



YEAR ENDED MARCH 31 



1942 




OTTAWA 
EDMOND CL< 
PHINTEH TO THE KING- 

1942 



Price, $8.00. 



DOMINION OF r ANADA 



REPORT 



OF THE 



AUDITOR GENERAL 



FOR THE 

YEAR ENDED MARCH 31 



1942 



<% 






OTTAW A 

EDMOND CLOUTII.R 

PRINTER TO THE KING'S MOST EXCELLENT MAJESTY 

1942 




It 



\\ y 









■«-»J i ■ • 



TABLE OF CONTENTS 



Page 

Revenues 1 

Ordinary Revenues 1 

Special Receipts 1 

Credits to Non-Active Accounts 1 

( Japital Refunds 2 

Appropriations 2 

Expenditures 3 

Ordinary Expenditures 3 

Special Expenditures 3 

War Expenditures 3 

Government-Owned Enterprises 4 

Write-Down of Assets 4 

Other Charges 5 

Capital Expenditures 5 

Increase in Net Debt 5 

Net Debt 5 

Contingent Liabilities 6 



PART I 

BALANCE SHEET AND REVENUE AND 
EXPENDITURE STATEMENT 

Balance Sheet 10 

Comments on Balance Sheet 12 

Expenditures and Revenues and Other Charges and Credits 18 

Comments on Revenue and Expenditure Statement 18 



PART II 

DEPARTMENTAL REVENUE AND EXPENDITURE 
STATEMENTS 

Summarized Statement of Revenues and Credits by Departments 22 

Summarized Statement of Appropriations and Expenditures by De- 
partments 24 

59727-1 J 



IV 

TABLE OF CONTENTS— Con. 

Page 

Statements of Revenues and Appropriations and Expenditures, by 
Departments and Services — 

Agriculture 

Revenues 26 

Appropriations and Expenditures 28 

Cold Storage Act — Subsidies under 48 

Improvement of Cheese and Cheese Factories 59 

Prairie Farm Assistance Act 57 

Prairie Farm Rehabilitation Act and Water Storage 52 

Reductions in Wheat Acreage 61 



Auditor General's Office 

Revenues 63 

Appropriations and Expenditures 63 

Chief Electoral Officer 

Revenues 65 

Appropriations and Expenditures 65 

Civil Service Commission 

Revenues 68 

Appropriations and Expenditures 68 

External Affairs 

Revenues 70 

Passport Office 70 

Appropriations and Expenditures 70 

International Joint Commission 76 



Finance 

Revenues 77 

Appropriations and Expenditures 81 

Coal Subsidies and Subventions 105 

Compensation to Provinces re Taxation Agreements 98 

Farmers' Creditors Arrangement Act 102 

Federal District Commission 99 

Home Improvement Loans Guarantee Act 91 

National Battlefields Commission 100 

National Housing Act 89 

Old Age Pensions Act 91 

Public Debt Charges 93 

Royal Canadian Mint 88 

Subsidies to Provinces 97 

Tariff Board. 100 

Loans and Investments 108 



TABLE OF CONTENTS— Con. 

Page 
Fisheries 

Revenues 110 

Appropriations and Expenditures Ill 

Fisheries Research Board of Canada 117 

Internationa] Fisheries Commission for Preservation of 

the North Pacific Halibut Fishery 119 

Internationa] Pacific Salmon Fisheries Commission — 

Sockeye Salmon Fisheries of the Fraser River System . . 119 

Salt Fish Board 116 

Governor General and Lieutenant-Governors 

Appropriations and Expenditures 122 

Insurance 

Revenues 125 

Appropriations and Expenditures 126 

Justice 

Revenues 128 

Appropriations and Expenditures 129 

Penitentiaries 135 

Labour 

Revenues 1 39 

Appropriations and Expenditures 140 

Combines Investigation Act 143 

Employment Offices Co-ordination Act 144 

Fair Wages and Conciliation I ! 4 

Government Annuities Act 143 

Industrial Disputes Investigation Act 145 

Labour Gazette 145 

National Registration 152 

Relief Projects 150 

Unemplovment Insurance Act 146 

Youth Training Act 149 

Legislation 

I ■ evenues 

Appropriations and Expenditures L54 

Mines and Resources 

Revenues 165 

Appropriations and Expenditures 168 

Government of the Northwest Territories 1 79 

Government of the Yukon Territory 181 

International Boundary Commission 191 

National Museum of Canada 178 

Munitions and Supplv 

Revenues .' 208 

Appropriations and Expenditures 208 



VI 

TABLE OF CONTENTS— Con . 

Page 
National Defence 

Revenues 209 

Appropriations and Expenditures 210 

National Revenue 

Revenues 215 

Appropriations and Expenditures 220 

National War Services 

Revenues 244 

Appropriations and Expenditures 244 

Canadian Travel Bureau 246 

Motion Picture Bureau 245 

National Film Board 246 

Pensions and National Health 

Revenues 248 

Appropriations and Expenditures 249 

Canadian Pension Commission 253 

Veterans' Bureau 260 

War Veterans' Allowance Board 254 

Post Office 

Revenues 271 

Appropriations and Expenditures 275 

Prime Minister's Office 

Appropriations and Expenditures 291 

Privy Council Office 

Appropriations and Expenditures 292 

Public Archives 

Revenues 293 

Appropriations and Expenditures 293 

Public Printing and Stationery 

Revenues 295 

Appropriations and Expenditures 296 

Canada Gazette 297 

King's Printer's Advance Account 298 

• Public Works 

Revenues 302 

Appropriations and Expenditures 303 

National Gallery of Canada 335 

Royal Canadian Mounted Police 

Revenues 341 

Appropriations and Expenditures 343 



vu 

TABLE OF CONTENTS— Con. 

Page 
Secretary of State 

Revenues 349 

Appropriations and Expenditures 350 

Bankruptcy Act 354 

Bureau of Translations 353 

Patent Record 356 

Soldier Settlement of Canada 

Revenues 358 

Appropriations and Expenditures 358 

New Brunswick 500 British Family Scheme 360 

3,000 British Family Scheme 359 

Loans and Investments 361 

Trade and Commerce 

Revenues 363 

Appropriations and Expenditures 364 

Canada Grain Act 371 

Canadian Government Elevators 373 

Canadian Wheat Board 390 

Dominion Bureau of Statistics 374 

Electricity and Fluid Exportation Act 368 

National Research Council 387 

Precious Metals Marking Act 369 

Weights and Measures Inspection Services 370 

Transport 

Revenues 391 

Appropriations and Expenditures 393 

Board of Transport Commissioners 401 

Canadian National Railways 431 

Government Employees' Compensation Act 424 

Hudson Bay Railway 422 

Maritime Freight Rates Act 423 

National Harbours Board 427 

Prince Edward Island Car Ferry and Terminals 426 

Railway Grade Crossing Fund 423 

Stores Account 428 

Loans and Investments 430 

Canadian Broadcasting Corporation 430 

War Expenditures 433 

Agriculture 434 

Auditor General's Office 445 

Civil Service Commission 446 

External Affairs 447 

Finance 450 

Fisheries 458 

Justice 460 

Labour 461 

Mines and Resources 468 

Munitions and Supply 475 

National Defence 518 



Vlll 

TABLE OF CONTENTS— Cone. 

Page 
War Expenditures — Cone. 

National Harbours Board 565 

National Revenue 566 

National War Services 566 

Pensions and National Health 575 

Post Office 585 

Privy Council Office 587 

Public Archives 587 

Public Works 587 

Royal Canadian Mounted Police 595 

Secretary of State 596 

Trade and Commerce 600 

Transport ; 603 



PART III 
GENERAL OBSERVATIONS 

Foreign Exchange Control Board 612 

Consolidated Revenue and Audit Act 612 

Indian Trust Fund _ _ 614 

Munitions and Supply Employees' Compensation Clearing Account 615 

Post Office Department 616 

Public Debt Management 616 

Public Works Department 617 

Salary Payments 617 

War Exchange Conservation Act 617 

National Harbours Board 618 

Government Owned Companies 620 

Allied War Supplies Corporation 621 

Atlas Plant Extension Limited 622 

Citadel Merchandising Company Limited 622 

Cutting Tools and Gauges Limited 624 

Fairmont Company Limited 624 

Federal Aircraft Limited 625 

Machinery Service Limited 626 

Melbourne Merchandising Limited 627 

National Railways Munitions Limited 627 

Plateau Company Limited 628 

• Polymer Corporation Limited 629 

Research Enterprises Limited 629 

Small Arms Limited 630 

Toronto Shipbuilding Company Limited 630 

War Supplies Limited 631 

Wartime Housing Limited 632 

Wartime Merchant Shipping Limited 634 

Wartime Metals Corporation 635 

Revenue and Expenditure Reporting 635 



REPORT OF THE AUDITOR GENERAL 

1941-42 



REVENUES 

The revenues of the Dominion for the fiscal year ended March 31, 1942, 
including Ordinary Revenues, Special Receipts -and Refunds to Capital Account, 
amounted to $1,485,905,949.45. Credits to non-active accounts added 
$2,630,393.52 bringing the grand total of receipts and credits to $1,488,536,342.97, 
an increase of $616,366,697.75 over the corresponding total of the previous year. 

Ordinary Revenues 

The total revenues on Ordinary Account, including taxes, interest on invest- 
ments, premium, discount and exchange, and receipts on account of Post Office 
and other departmental services, amounted to $1,463,824,202.71, an increase of 
$604,069,274.36 over the amount received in 1940-41. Increases in the collec- 
tions for the Departments of National Revenue, Finance and Post Office, 
amounting to $582,642,187.17, $12,338,315 and $5,631,956.12 respectively, 
accounted for the greater part of the increase. 

Special Receipts 

Special receipts and credits to Consolidated Fund amounted to $21,060,093.71, 
an increase of $12,521,858.05 compared with the amount received in the previous 
year. Of the total, $99,274.17 was a credit to Consolidated Fund on account 
of the capital gain on the redemption at $4.45 to the pound sterling of Grand 
Trunk Railway 4 per cent perpetual debenture stock, which was taken into 
the accounts as an offset to a corresponding increase in the Canadian National 
Railways Securities Trust Stock, represented by a charge to Non-Active 
Accounts in the year's expenditure. An amount of $4,016,326.74, similarly 
credited to special receipts, was an offset to an equivalent increase in the 
Dominion's equity in the Canadian National Railways due to the surplus 
earnings of the railway system during the calendar year 1941. Donations 
received during the year totalled $459,106.72, of which $458,583.82 represented 
sums donated to the government to assist in the prosecution of the war, and 
$522.90 donated for the relief of persons in distress. Of the balance, $3,183,466.02 
was for special revenues arising out of the war, $13,200,180.08 for refunds of 
previous years' war expenditures, and $101,739.98 for refunds of previous years' 
special expenditures. 

Credits to Non-Active Accounts 

A total of $2,630,393.52 was credited to non-active accounts during the year, 
a decrease of $1,225,683.70 compared with the amount credited in the previous 
fiscal period. Of this amount, $2,597,595.05 was an offset to an equivalent amount 
included in the year's expenditures on account of non-active assets written down 
to Consolidated^Fund. The balance of $32,798.47 consisted of a reduction in the 
indebtedness of the National Harbours Board. 

59727—2 



2 AUDITOR GENERAL'S REPORT 

Capital Refunds 

Refunds of previous years' expenditures and other credits to Capital 
Account during 1941-42 totalled $1,021,653.03, an increase of $1,001,249.04 
compared with the amount credited to this account during the preceding year. 
Of this total, $983,806.08 consisted of insurance moneys received on the loss of 
the Prince Edward Island Car Ferry. The balance consisted of refunds of 
previous years' capital expenditures. 



APPROPRIATIONS 

Amounts totalling $307,850,269.04 were granted by Parliament in the Annual 
Appropriation Acts, Nos. 1, 3 and 4, 1941, and No. 2, 1942, to defray the charges 
and expenses of the public service for the financial year ended March 31, 1942, 
and to make advances for certain active loans and investments. By the War 
Appropriation Act, 1941, and the Supplementary 1941 War Appropriation. Act, 
Parliament provided sums totalling $1,435,000,000 to meet the special expendi- 
tures necessitated by the state of war and to make such advances and loans as 
the Governor in Council deemed necessary or advisable. Section 2 of the War 
Appropriation Act, 1941, provided that "any moneys received as a refund or 
repayment of any advance, loan or expenditure made under the authority of 
The War Appropriation Act, 1939, The War Appropriation Act, 19/ f 0, or this 
Act, may, with the approval of the Governor in Council, be re-expended, advanced 
or loaned for the purposes of this Act." Refunds to which this section of the 
Act applied amounted to $49,714,182.74, and accordingly the appropriations 
available for war purposes have been increased by an equivalent amount. In all, 
the total available for expenditures and advances under these authorities, 
exclusive of the amounts authorized under the terms of continuing statutes, was 
$1,792,564,451.78. 

Expenditures amounting to $1,602,007,456.06 and advances for active loans 
and investments and miscellaneous current accounts amounting to $43,145,870.64 
were made under the authority of these appropriations, a total of $1,645,- 
153,326.70, leaving at the close of the fiscal year an unexpended and lapsed 
balance of $147,411,125.08. 

In addition to expenditures incurred under the authority of terminating 
annual appropriations, payments totalling $283,058,599.15 were made from 
unappropriated moneys in the Consolidated Revenue Fund in conformity with 
the provisions of certain continuing statutory authorities. Expenditures for 
interest and other charges for servicing the public debt, old age pensions, 
provincial subsidies and grants, and salaries of the governor general, lieutenant 
governors and judges comprised more than seventy per cent of the total. In 
addition to the above, advances totalling $252,556,458.54 for active loans and 
investments were made under the provisions of these continuing authorities, 
including $191,602,582.22 authorized under the War Appropriation (United 
Kingdom Financing) Act, 1942. 

The largest balance unexpended was that of the Appropriations for the 
Department of Finance, an amount of $24,585,429.41 remaining unspent at the 
end of the fiscal year, of which $23,879,556.68 was the unused portion of 
Vote 476 for compensation to the provinces re taxation agreements. Other 
departments with unexpended balances of grants in excess of $500,000 were: 
Agriculture, $5,125,586.32; Fisheries, $525,080.91; Labour, $4,054,140.38; Mines 
and Resources, $769,427.33; Pensions and National Health, $2,519,548.54; Post 
Office, $1,376,037.27; Public Works, $1,292,643.66; Trade and Commerce, 
$1,342,145.93; Transport, $2,214,545.37. 



AUDITOR GENERAL'S REPORT 3 

In addition to the departmental totals of lapsing appropriations, balances 
of allotments from the War Appropriations to an amount of $33,036,848.04 were 
unspent and lapsed at the close of the fiscal year. Also the unallotted portion 
of the War Appropriations, amounting to $69,186,506.35 and including refunds 
and repayments available for re-allotment to an amount of $49,714,182.74, lapsed 
at the end of the financial year. 

The number of votes for which there remained unexpended balances in excess 
of $500,000 when the accounts for the year were closed, was 10 for 1941-42 
compared with 8 for 1940-41. 

EXPENDITURES 

The total expenditures for the fiscal year, including Ordinary, Special, War 
and Capital Expenditures, Operating Deficits of and Non-Active Advances to 
Government Owned Enterprises, Write-Down of Assets and Other Charges, 
amounted to $1,885,066,055.21, an increase of $635,464,608.77 over the total 
expenditures in the previous year. Included in the total was an amount of 
$2,597,595.05 representing the write-down to Consolidated Fund of non-active 
assets which had been charged in the expenditures of previous years and for 
which there is an offsetting credit to Non-Active Assets in the revenues of the 
year under review. 

Ordinary Expenditures 

Ordinary expenditures, including interest and other charges for floating 
and servicing the public debt, pensions, subsidies and special grants to provinces 
in compensation for relinquishing the income and corporation tax fields for 
the war's duration, and the general administrative costs of government, 
amounted to $444,777,695.70 for the fiscal year, an increase of $54,148,345.68 
compared with the corresponding total in 1940-41. The net increase was due 
mainlv to increases in the expenditures of the following departments: Finance, 
$47,026,224.25; Labour, $10,026,804.56; National Revenue, $1,199,129.95; Post 
Office. $2,802,195.28; Trade and Commerce, $1,559,274.03, offset bv the follow- 
ing reductions: Chief Electoral Office, $2,187,817.44; Legislation, $1,512,629.62; 
Mines and Resources, $4,556,674.23; Pensions and National Health, $1,496,777.17. 

Special Expenditures 

Special expenditures amounted to $63,975,772.56, an increase of $21,106,- 
674.03 compared with the amount spent in the previous fiscal year. Of this 
total, $8,500,358.67 represents direct payments to provinces for material aid 
and municipal improvements projects, the Dominion's share of joint Dominion- 
Provincial relief works and projects, and expenditures on public works for 
which the Dominion was solely responsible, including administrative i 
Payments under the Prairie Farm Assistance Act, 1939, included $422,459.67 for 
administration and $11,848,362.14 for advances to the Prairie Farm Emergency 
Fund to cover acreage bonuses to farmers. Payments of awards under the 
Wheat Acreage Reduction Plan amounted to $30,633,763.96. A further amount 
of $12,570,828.12 was added to the reserve to meet deficits not previously pro- 
vided for, resulting from the operations of the Canadian Wheat Board, as 
calculated at July 31, 1941, the close of the crop year 1940-41. 

War Expenditures 

Of the total of $1,484,714,182.74 available for allotment by the Governor 
in Council for war purposes under the provisions of the several appropriating 
authorities, $1,372,708,425.35 was allotted for expenditures and 842,819,251.04 
for loans and advances, a total of $1,415,527,676.39, leaving an unallotted balance 

59727—2J 



4 AUDITOR GENERAL'S REPORT 

of $69,186,506.35 at the end of the year. Expenditures amounting to $1,339,674,- 
152 42 and loans and advances to an amount of $42,816,675.93 were made from 
these allotments, a total of $1,382,490,828.35, leaving an unexpended portion of 
$33 036,848.04 to be added to the unallotted balance of the War Appropriation, 
making a total of $102,223,354.39 which lapsed at the close of the fiscal year 

In" addition to the provision for loans and advances under the terms ot 
section 2 of the War Appropriation Act, 1941, Parliament provided m section 
3 th"t "the Government of Canada may act as the agent of the government oi a 
British or foreign country allied with His Majesty for any purpose which, in the 
opinion of the Governor in Council, will aid directly or indirectly m the prosecu- 
tion of the war, and any obligations or costs incurred temporarily or assumed 
by the Government of Canada in the exercise of the powers hereby conferred 
may be paid out of anv unappropriated moneys in the Consolidated Revenue 
Fund" As at March 31, 1942, amounts totalling $121,279,575.97 were classed 
as active assets representing costs recoverable under this section from the 
United Kingdom, the dominions and colonies and countries allied with His 
Majesty. Also, under the provisions of section 3 of the Act, an amount of 
$400,000,000 was advanced to the special account established pursuant to the 
Exchange Fund Act, 1935, to cover the costs assumed in the accumulation of 
sterling balances in providing Canadian dollars to assist the Government of the 
United Kingdom in purchasing its requirements of munitions of war, food stuffs 
and raw materials in Canada. . ' 

In accordance with the terms of the War Appropriation (United Kingdom 
Financing) Act, 1942, Canadian National Railways securities to the value of 
$191,602,582.22 were repatriated during the year and were turned over to the 
railway company. Under the provisions of section 5 of the Act, a temporary 
loan to that amount was made to the Company to enable it to acquire these 
securities. 

Government Owned Enterprises 

Expenditures on account of Government Owned Enterprises amounted to 
$1,214,255.57 of which $456,166.13 consisted of net income deficits charged to 
Consolidated Fund, and $758,089.44 was for advances which were debited to 
Loans and Advances Non-Active. 

The principal item in the first category was the deficit of the Prince Edward 
Island Car Ferry and Terminals for the calendar year 1941, amounting to 
$423,650.75. The balance of $32,515.38 consisted of payments to the National 
Harbours Board on account of the operating deficit of Churchill Harbour for 
the calendar year 1941. There was a net decrease of $17,009,565.15 in this class 
of expenditure as compared with the preceding year. 

Non-Active Loans and Advances to Government Owned Enterprises 
amounting to $758,089.44 were $42,142.03 greater than the amount advanced in 
the previous fiscal year. Loans to the National Harbours Board comprised the 
full amount of this total. 

Write-down of Assets 

Assets written down to Consolidated Fund amounted to $2,878,131.46, a 
decrease of $2,000,500.74 compared with the corresponding charge in the 
preceding year. 

Active assets written down amounted to $280,536.41 as compared with 
$1,023,252.02 in the previous year, and included a reduction of $270,826.47 in 
Soldier and General Land Settlement Loans; the cancellation of Canadian 
Farm Loan Board Capital Stock amounting to $9,613; and a small amount of 
$96.94 written off Assisted Passage Loans under the Empire Settlement Scheme. 

Non-active assets written down to Consolidated Fund during 1941-42 
amounted to $2,597,595.05 as compared with $3,855,380.18 in the previous fiscal 



AUDITOR GENERAL'S REPORT 5 

year. Of this amount, $2,539,187.21 was on account of a reduction In the Cana- 
dian National Railways Securities Trust Slock in consequence of certain line 
and property abandonments during the calendar year 1941; and s.")S,4()7.84 
represented the established losses in the *vvd grain and relief accounts adminis- 
tered by the Department of Mines and Resources. As these writedowns from 
Non-Active Accounts to Consolidated Fund effected a reduction in non-active 
assets and a corresponding increase in the accumulated deficits in Consolidated 
Fund, the result was to leave the net debt unchanged. The offsetting entries 
totalling $2,597,595.05 are included in the revenues of the year as credits to 
Non-Active Accounts. 

Other Charges 

Other charges included in the year's expenditure totalled $29,115,600.91, a 
decrease of $8,523,950.18 as compared with the corresponding amount in the 
previous year. Of the total, $25,000,000 was classed as other charges to Con- 
solidated Fund and the balance of $4,115,600.91 consisted of charges to Non- 
Active Accounts. 

The amount of $25,000,000 was charged to Consolidated Fund to provide 
an additional reserve for possible losses on the ultimate realization of Active 
Loans and Advances. 

Other charges to Non-Active Accounts consisted of the amounts by which 
the Canadian National Railways Securities Trust Stock was increased during 
the year. Of the total, $99,274.17 was on account of the capital gain on the 
redemption of Grand Trunk Railway 4 per cent sterling perpetual debenture 
stock. The balance of $4,016,326.74 was the increase in the Dominion's equity 
in the Canadian National Railways due to the surplus earnings of the railway 
system during the calendar year 1941. Offsets to these two charges are included 
in Special Receipts. 

Capital Expenditures 

Expenditures charged to Capital Account during the fiscal year amounted 
to $3,430,446.59, an increase of $72,636.74 compared with those of the preceding 
fiscal period. Of the total, $1,248,154.71 was for the construction and improve- 
ment of civil airways and airports; $1,951,519.03 for dredging the St. Lawrence 
Ship Channel and the Montreal Harbour; and $154,997.44 for the extension and 
improvement of control weirs in the St. Lawrence River. The balance consisted 
of $71,258.23 for the construction of an icebreaker and service vessel, and 
$4,517.18 for construction and improvements of the Hudson Bay Railway. 



INCREASE IN NET DEBT 

The total expenditures on all accounts during the financial year ended 
March 31, 1942, amounted to 81,885,066,055.21, and the total revenues from 
all sources for the same period to $1,488,536,342.97, resulting in an ov 
deficit of $396,529,712.24 on the year's operations, with an increase of equal 
amount in the net debt of the Dominion. The deficit in the preceding year was 
$377,431,801.22. 

NET DEBT 

At the close of the fiscal year, the gross direct liability of the Dominion 
was $6,648,823,424.36. Assets classified as active and including cash balances 
and loans and advances which were readily realizable or income producing to 
an amount of $2,603,602,263.56 were treated as deductions from the gross debt, 
With the result that at the end of the year, a net direct debt of $4,045,221,160.80 



6 AUDITOR GENERAL'S REPORT 

was recorded in the Public Accounts. Of this amount, $1,457,943,772.11 con- 
sisted of capital disbursements for canals, railways, public buildings and river 
and harbour improvements, and of non-productive loans and advances to various 
enterprises. The balance of $2,587,277,388.69 represented the accumulated 
deficits since Confederation charged to Consolidated Fund. 

CONTINGENT LIABILITIES 

In addition to the direct debt recorded in the Balance Sheet, the Dominion 
government, pursuant to Parliamentary authority, has assumed certain indirect 
liabilities. 

Outstanding bonds and debenture stocks, guaranteed as to the payment of 
principal and interest, amounted to $785,766,707.61 on March 31, 1942, and 
included guaranteed obligations of the Canadian National Railways, amounting 
to $755,223,525.26; various harbour commissioners securities, amounting 
to $21,143,182.35; and Canadian National (West Indies) Steamships, Limited 
bonds amounting to $9,400,000. Perpetual railway debenture stock, guaran- 
teed as to the payment of interest only, amounted on the same date to 
$33,075,010.34. In all cases stocks and bonds payable optionally or solely in 
foreign currencies have been converted at par of exchange. 

Guarantees assumed by the Dominion pursuant to the several relief acts 
at March 31, 1942, included bank advances re Province of Manitoba Savings 
Office, $6,131,616.17; Province of British Columbia Treasury Bills, $626,533.75; 
and Province of Manitoba Treasury Bills, $4,805,722.62. Advances by Canadian 
chartered banks to the Government of Newfoundland, amounting to $625,000 
and carrying the guarantee of the Government of Canada, were paid off by the 
Government of Newfoundland during the year. 

Under the authority of the Canadian Wheat Board Act, 1935, advances 
made by the several chartered banks to the Canadian Wheat Board were guar- 
anteed by the Dominion. On March 31, 1942, the outstanding advances 
amounted to $116,686,562.27. Pursuant to the same Act, the Dominion guaran- 
teed the payment of any amount due to the Winnipeg Grain and Produce 
Clearing Association, Limited, by the Canadian Wheat Board on account of day 
to day margins. As accounts are closed out daily, no liability accrues from day 
to day. 

Pursuant to the Bank of Canada Act, 1934, the Dominion guaranteed the 
chartered banks against loss with respect to deposits maintained with the Bank 
of Canada under section 27 of the Act. The total of such chartered bank 
deposits on March 31, 1942, was $241,931,984.61. 

Under the authority of the Seed Grain Loans Guarantee Act, 1938, a guaran- 
tee was given with respect to the principal and interest of seed grain loans 
made by chartered banks to municipalities in Alberta and Saskatchewan during 
the 1938 crop year. The amount of principal outstanding on which the guarantee 
was applicable was not determined at March 31, 1942. The maximum principal 
amount authorized to be guaranteed under the Act was $14,500,000 for Sas- 
katchewan and $1,900,000 for Alberta. 

Under the terms of the Home Improvement Loans Guarantee Act, 1937, 
certain approved lending institutions were guaranteed against loss on home 
improvement loans. The Dominion liability is limited to fifteen per cent of the 
aggregate loans made by each lending institution, but as the balance of the loans 
outstanding on March 31, 1942, had been reduced to approximately twelve per 
cent, the contingent liability of the Government is limited to the balance of the 
loans outstanding on March 31, 1942, $6,162,007.54. 

The Dominion also has accepted certain obligations under the Dominion 
Housing Act, 1935, and the National Housing Act, 1938. On contracts with 



AUDITOR GENERAL'S REPORT 7 

approved lending institutions, the Dominion agreed to assume a liability for a 
portion of the losses sustained by the lending institutions. Although not 
expressed in the form of a guarantee, these obligations eonstitute indeterminate 
contingent liabilities. 

During the years 1940-41 and 1941-42 the Dominion guaranteed the repay- 
ment with interest of bank advances in connection with certain Government 
war contracts entered into by the Department of Munitions and Supply. At 
March 31, 1942, outstanding advances totalling $1,700,356.56 were subject to 
guarantee. 

During the year the Dominion, under authority of the War Measures Act, 
guaranteed the repayment with interest of bank advances not exceeding 
$3,000,000 to the Canadian Red Cross Society. There were no advances subject 
to guarantee outstanding at March 31, 1942. 

Pursuant to the Dominion-Provincial Taxation Agreements, the Provinces 
have been guaranteed receipts from gasoline taxes at amounts received in fiscal 
years ending nearest December 31, 1940, which constitutes an indeterminate 
contingent liability. 



PART I 



BALANCE SHEET 

AND 

REVENUE AND EXPENDITURE 

STATEMENT 



10 AUDITOR GENERAL'S REPORT 

BALANCE SHEET, 

Assets 

A Cash 800,299,968 12 

B Special Deposits 2,943,688 42 

C Bank of Canada— Capital Stock Investment 5,920,000 00 

D Central Mortgage Bank— Capital Stock 250,000 00 

E Foreign Exchange Control Board— Loan 725,000,000 00 

F Loans and Advances: 

Canadian Broadcasting Corporation 503,398 77 

Canadian Farm Loan Board, Advances 

and Capital Stock 36,537,282 00 

Canadian National Railways Company 416,902,399 93 
Canadian National (West Indies) Steam- 
ships Limited 450,000 00 

Canadian Pacific Railway Company... 12,814,210 85 
Dominion and National Housing Acts. . 16,254,094 98 

Foreign Governments 30,854,262 40 

Municipal Improvements Assistance Act 5,976,260 65 

National Harbours Board 85,416,649 63 

New Westminster Harbour Commission 274,537 23 

Provinces: 

Housing Loans 130,500 00 

Unemployment Relief Acts Loans 157,275,021 49 

Saskatchewan — Power Commission. . . 53,760 00 

Alberta — Subsidy Overpayment 468,750 00 

Soldier and General Land Settlement. . . 33,888,343 48 



Total Loans and Advances 797,799,471 41 

Less — Reserve for possible losses on ulti- 
mate realization of Active Loans and 
Advances 50,000,000 00 



747,799,471 41 

G Province Debt Accounts 2,296,151 87 

H Unamortized Discount and Commission on Loans 55,575,167 35 

I Miscellaneous Current Accounts 263,517,816 39 



Total Active Assets 2,603,602,263 56 

Balance, being Net Debt, March 31,1942 
(exclusive of interest accrued) repre- 
sented by: — 
J Expenditures for Capital Purposes and 

Non-productive Loans and Advances. 1,457,943,772 11 

K Consolidated Fund 2,587,277,388 69 

4,045,221,160 80 



$6,648,823,424 36 

Certified Correct, ===== 

W. C. CLARK, 

Deputy Minister of Finance. 



AUD1T0H GENERAL'S REPORT 11 

MARCH 31, 1942 

Liabilities 

L Funded Debt and Treasury Bills Unmatured — 

Payable in Canada 5,390,813,428 00 

Payable in London 15,450,865 42 

Payable in New York 459.000,000 00 

5,865,264,293 42 

M Floating Debt- 
Funded Debt Matured and Outstanding. 6,054,051 45 

Stock Payable on Demand 16,527 40 

Interest Due and Outstanding 9,304,137 97 

Outstanding Cheques 44,366,675 78 

59,741,392 60 

N Bank Circulation Redemption Fund 4,478,046 45 

O Post Office Account — Money Orders, Postal Notes, etc., 

Outstanding 6,900,357 60 

P Post Office Savings Bank Deposits 21,671,413 38 

Q Government Annuities 172,911,035 00 

R Insurance and Superannuation Funds 157,932,226 25 

S Trust Funds 35,008,519 46 

T Contingent and Special Funds 312,996,171 56 

U Province Debt Accounts 11,919,968 64 



$6,648,823,424 36 



The above accounts have been examined and audited under my 
direction, in accordance with the provisions of the Consolidated Revenue 
and Audit Act, and subject to the observations in this report, I certify 
that in my opinion they are correct. 

WATSON SELLAR, 

Auditor General. 



12 AUDITOR GENERAL'S REPORT 

Comments on the Balance Sheet 

The Balance Sheet follows the pattern adopted in 1920. It shows on the 
assets side accounts which have been classified as active assets and which, 
according to the 1920 definition, represent cash or investments which are interest 
producing or have a readily realizable cash value. Revenue in arrears and 
stores, with the exception of the stores inventories of the Department of Public 
Printing and Stationery and the Department of Transport and the metals 
advance accounts of the Royal Canadian Mint and Dominion of Canada Assay 
Office, are not included in the assets. 

Liabilities include only those that have been ascertained and brought into 
the accounts. Items, such as interest accrued but not due, and current obligations 
incurred for services and supplies not paid for at the end of the fiscal year are 
not included. Indirect liabilities under government guarantees also are not 
reflected in the Balance Sheet, but are set out in a special schedule in the Public 
Accounts. 

The excess of liabilities over active assets, designated the net debt, is' 
analysed in a statement appended to the Balance Sheet, and is apportioned to 
non-active assets, which include capital expenditures and non-productive invest- 
ments, and to accumulated deficits in Consolidated Fund. 

Obligations payable in other than Canadian currency, such as those portions 
of the Funded and Floating Debt payable in London and New York are recorded 
in the Balance Sheet at par of exchange. Similarly assets held in London and 
New York such as cash, special deposits, and bond holding account investments 
are shown at $4.86| to the pound sterling and $1 to the American dollar. 

A Cash represents the balance of the receipts of public moneys applicable to the fiscal 
year 1941-42 in the several bank accounts in Canada, London and New York in the name 
of the Receiver General of Canada. Section 3 of the Consolidated Revenue and Audit 
Act, 1931, requires that all public moneys shall be paid to the credit of the account of the 
Receiver General of Canada. 

B Special deposits consist of balances in the hands of certain fiscal agents of the Govern- 
ment for the redemption of bonds and the payment of interest on the public debt, etc. 

C Bank of Canada Capital Stock represents the investment of the Government as the sole 
owner of the capital stock of the bank which was acquired under authority of the Bank 
of Canada Act, Amendment Act, 1938. Of this amount, $5,000,000 represents the par 
value of 100,000 shares of capital stock, and the balance of $920,000 premium paid in 
respect to the acquisition in 1938 of shares held by the public. Returns from this invest- 
ment for the year consisted of $225,000 from dividends credited to Interest on Investments, 
and $3,725,590.53, being the Government's share, of the net surplus for the year credited 
to Casual Revenue. 

D This account represents the investment of the Dominion Government in the Central 
Mortgage Bank. Under the provision of Section 13 of the Central Mortgage Bank Act, 
1939, the Minister of Finance was empowered to subscribe for one hundred thousand 
shares of the capital stock of the bank at par at such times and in such amounts as the 
Governor in Council might determine. At March 31, 1942, the Governor in Council 
had authorized the payment by the Minister of two dollars and fifty cents in respect 
of each one hundred dollar share. Due to the state of war and to the uncertainties 
regarding the effects which the war might have on its proposed business, the bank remained 
inoperative during 1941. The net surplus of the year, consisting of earnings on the 
investment of the capital subscriptions, less expenses incurred, amounted to $3,579.60 
and was credited to Casual Revenue. 

E The amount of $725,000,000 represents the advances to March 31, 1942, to the Foreign 
Exchange Control Board, under the provisions of the Exchange Fund Order 1940 and 
Section 3 of the War Appropriation Act, 1941, to increase the funds at the credit of 
the special account established pursuant to Section 4 of the Exchange Fund Act, 1935. 
To provide the Board with capital to carry on its foreign exchange transactions during 
1941-42, an amount of $400,000,000 was advanced under the provisions of Section 3 of the 
War Appropriation Act, 1941, which provides that the Government of Canada may charge 
to unappropriated moneys in Consolidated Revenue Fund any costs incurred temporarily 
in acting as the agent of the government of any British or foreign country allied witk 



AUDITOR GENERAL'S REPORT 



13 



His Maj< sty. Inter. v\ to Nov. 1. 1941, ai 1 per cent on $660,000,000 and to March 31, L942, 
at the average quarterly lender rate for Treasury Bills on 175,000,000 i ived during 

the year and credited to Interest on Investments. 

F Active loans and advances outstanding totalled $797,790,471.41 ai March 31, 1942, an 
incn 246,380,611.01 compared with the corresponding amounl :it the close of the 

previous year. Againsl this total was offsel an amounl of s.">0,000,000, of which S'25.000,000 
was set up in 1940-41 and a further S2f>,000,000 in 1941-12 as a reserve for losses 

on the ultimate realisation of these active loans and advances, and which appear 
charge to Consolidated Fund in the expenditures of those years. The following 
summary of the transactions relating to these accounts, classified by departments: 



Loans 
outstanding 
Department April 1,1941 

Finance 246.519,410 90 

Soldier Settlement of Canada 35.679,622 80 

Transport 269,219.826 70 

551,418,860 40 
Reserve for possible losses 25,000.000 00 



Advances 
during year 

4.134,458 86 

3,055,218 15 

263,845.127 13 

271,034,804 14 



Repayments 

and 
other credits 
during year 

3,103,938 24 

4.846,497 47 

16,703,757 42 

24,654,103 13 



Loans 

outstanding 
March 31, 1942 

247,549,931 52 

33.888.343 48 

516.361.196 41 

707,700,471 .;/ 
50,000,000 00 



$526,418,860 40 $271,034,804 14 $ 24,654.193 13 8747,799,471 41 



Details of the transactions relating to the various accounts are shown in the related 
departmental sections of this report. 

GU The amount of $2296,151.87, included as an asset in the Balance Sheet, consists of 
amounts due to the Dominion on debt account by the provinces of Nova Scotia, Prince 
Edward Island and Quebec. 

The amount of $11,919,968.64 included as a liability represents the amount of the debt 
allowances granted to the provinces as a result of the financial settlements of Confederation, 
and on which interest at 5 per cent per annum is paid. 

H This debit balance represents the unamortized amount of discounts and commissions 
and redemption bonuses on loans issued and premiums on loans converted since April 1, 
1930. During the fiscal year, premiums, discounts and commissions on loans issued during 
1941-42, amounting to $22,388,799.03 were debited to the account, and sums totalling 
SI 1.425, 107.75. of which $10,981,591.08 represented the annual amortization charges applicable 
to 1941-42 and $443,516.67 interest charges on the Public Debt, were credited to the account 
and charged to the expenditures of the year. 

I Miscellaneous Current Accounts include advances for working capital, the bond holding 
investments, sundry stores accounts, and the balances due by the governments of the 
United Kingdom and allied countries for which the Government of Canada has acted as 
agent. 

The balance of $16,771,980.54 at the debit of the Canadian National Railways Working 
Capital Account at March 31, 1942, represents the former balances of the open and stores 
accounts of the Canadian Government Railways, which were transferred to this account 
under the terms of the Canadian National Railways Capital Revision Act, 1937. 

The balances of the several stores and purchase accounts at March 31. 1942, totalled 
$6,169,543.67, and included: 

Royal Canadian Mint Advance Accounts 3.697.855 48 

Dominion of Canada Assay Office — Gold and Silver Purchase Account 133.957 43 

King's Printer Advance Account 1.116.383 74 

Department of Transport — Stores Account 1 .221 .347 02 

$6,169,543 67 



The Unemployment Insurance Investment Fund representing the investments of the 
Unemplovment insurance Commission in obligations of. or guaranteed bv the Govern- 
ment of Canada totalled $38, 750 .969 .28 at March 31. 1942. of which $38,524,333.28 was the 
book value of bonds purchased at a cost of $38,543,677.51 and having a par value of 
S3S.290.000. and $226,636 represented interest accrued thereon to March 31. 1912. This 
account is an offset to the Dominion's gross recorded liability to the Fund included in 
Superannuation and Insurance Funds. 



14 AUDITOR GENERAL'S REPORT 

Seed Grain and Relief Mines and Resources Account represents advances in connec- 
tion with the distribution of seed grain and relief to needy settlers in Western Canada. 
During 1941-42 receipts amounting to $10,126.38 and write-offs to Consolidated Fund 
amounting to $58,407.84 were credited to the account. Of the total of $2,758,500.39 in the 
account at March 31, 1942, $2,412,560.72 was classed as realizable and carried as an 
active asset. The balance of $345,939.67 represented the amount recorded as a non-active 
asset. The balance of interest outstanding at March 21, 1942, was reported to be 
$3,479,139.53. 

Under the authority of the several War Appropriation Acts, advances were made by the 
Department of Munitions and Supply to certain companies. These are treated in the 
Balance Sheet as Miscellaneous Current Accounts. As at March 31, 1942, the following 
amounts were outstanding: Government Owned Commodity Companies, $18,444,443.69 
including Fairmont Company Limited, $11,955,394.73; Melbourne Merchandising Com- 
pany Limited, $5,531,319.10 and Plateau Company Limited, $957,729.86; Government 
Owned Companies, $6,818,483.04 including Atlas Plant Extension Limited, $6,533,483.04 
and Research Enterprises Limited, $285,000; and Private Companies, $9,285,391.15 includ- 
ing Algoma Steel Corporation Limited, $4,000,000; John Bertram and Sons, Company, 
Limited, $311,723.41; Dominion Steel and Coal Corporation Limited, $1,576,967.74; English 
Electric Company of Canada Limited, $776,700; Steel Company of Canada Limited, 
$2,545,000 and A. C. Wickman (Canada) Limited, $75,000. 

National Defence Advance Accounts represent recoverable costs arising from the Govern- 
ment of Canada acting as agent of certain British or foreign countries allied with His 
Majesty for any purpose which in the opinion of the Governor in Council would aid 
in the prosecution of the war. Section 3 of the War Appropriation Act, 1941, provides 
that such recoverable items may be charged for the time being to unappropriated moneys 
in the Consolidated Revenue Fund. The total of $121,279,575.97 at March 31, 1942 
represents the balances due the Dominion with respect to the recruitment and training 
of nationals of such governments, the procurement of munitions and supplies, the opera- 
tion of internment camps, the British Commonwealth Air Training Plan, the repair and 
equipment of ships, and sundry other services. At the close of the financial year the 
following balances were shown, as due to the Dominion: United Kingdom, $118,428,199.57; 
Australia, $2,174,874.12; India, $1,061.33; Newfoundland, $30,445.15; New Zealand, $446,- 
419.97; South Africa, $2,987.61; Belgium, $2,049.77; Czechoslovakia, $576.79; France, 
$48,162.90; Greece, $39.27; The Netherlands, $54,332.54; Norway, $61,806.03; Poland, 
$3,775.21; Russia, $2,184.06; United States, $22,661.65. 

J Expenditures for Capital Purposes and Non-Active Assets amounted to $1,457,943,772.11 
on March 31, 1942, an increase of $4,652,090.39 over the corresponding amount on March 
31, 1941. Capital expenditures accounted for $996,631,315.86 of the total and included the 
following: canals, $240,303,982.33; railways, $425,957,325.54; public buildings, harbours and 
river improvements, $307,901,875.66; military property and stores, $12,572,184.65; and 
territorial accounts, $9,895,947.68. 

Loans and advances non-active amounted to $461,312,456.25 on March 31, 1942, and 
included loans to railways, $348,074,454.57; loans to Canadian National Steamships Limited, 
$13,871,969.33; advances to National Harbours Board, $69,184,366; Soldier and General 
Land Settlement Loans, $16,525,917.49; Seed Grain Loans Guarantee Acts advances, 
$9,773,449.24; and miscellaneous investments, $3,882,299.62. 

K The balance of $2,587,277,388.69 at the debit of the Consolidated Fund at March 31, 
1942, represents the accumulated deficits since Confederation. This amount is $391,877,- 
621.85 greater than the corresponding balance at the close of the previous fiscal year. 

L The liability of the Dominion in respect to unmatured Dominion loans amounted to 
$5,865,264,293.42 at March 31, 1942, an increase of $1,493,273,701.52 over the corresponding 
liability of $4,371,990,591.90 at March 31, 1941. The increase is accounted for as follows: 

New Bonds and treasury bills issued during fiscal year $3,368,286,355 07 

Less: Bonds and treasury bills redeemed or converted $1,872,121,153 55 
Matured and unredeemed bonds transferred to 

Floating Debt 2,891,500 00 

1,875,012,653 55 

Net increase in the Funded Debt $1,493,273,701 52 

As of March 31, 1942, unmatured funded debt, including treasury bills outstanding, was 
payable as follows: 

Canada $5,390,813,428 00 

London 15,450,865 42 

New York 459,000,000 00 

Total $5,865,264,293 42 



AUDITOR GENERAL'S REPORT 15 

M Floating debt consists of obligations of the Dominion payable 0X1 demand and includes 
unpresented matured bonds, stock payable on demand, interest due and outstanding, and 
cheques outstanding. Funded debt matured and outstanding amounted to $6,054,051 .r> on 
March 31, 1942, and consisted of debl payable in Canada, 14,531 ,230.19; London, si,:;:2,- 
621.26; New York, $14,200; and Canada and New York, $136,000. Stork payable on 
demand included outstanding Dominion B Stock totalling $4,700 and the capitalized 

Compensation to Seigneurs amounting to $11,827.40. Interesl due and outstanding totalled 
$9,304,137.97 and included interesl unpaid on domestic loans, $8,191,031.69, on New 
York loans, $935,052.25, on London loans, $92,473.45, and on loans payable in Canada 
and New York, $30,675. Outstanding cheques amounting to $44,366,675.78 included 
•SI 4,167, 153.96 representing t lie Dominion's liability on account of the Comptroller of the 
Treasury cheques issued in 1940-41 and 1941-42 winch were outstanding when the accounts 
of the year were closed; the balance represents the liability for uncashed cheques 
prior to 1940-41. 

N The Bank Circulation Redemption Fund consists of amounts deposited with the Minister 
of Finance by the chartered banks to secure the redemption of their outstanding no' 
required by Section 64 of the Bank Act, 1934. Interest at 3 per cent amounting to 
SI 11,25 1.01 was allowed on the balances in the fund and was charged to Interest on Public 
Debt. 

O The Post Office Account is a composite balance representing the different !" tween the 
values of the recorded assets and liabilities of the Post Office Department. Thi 
include cash in the hands of postmasters, and accounts receivable from other countries in 
respect to money orders, parcel post and transit charges. The liabilities include accounts 
payable for parcel post and transit charges on mail for delivery abroad and the department's 
liability for money orders and postal notes outstanding. The balance of $6,900,357.60 at 
March 31, 1942, was $3,302,455.13 greater than the corresponding balance of 83,597,902 
March 31, 1941. 

P The amount of $21,671,413.38 represents the liability of the Dominion on March 31, 1942, 
on account of deposits in the Post Office Savings Banks, received under the provisions of 
Part I of the Savings Banks Act, which empowers the Postmaster General, with the consent 
of the Governor in Council, to authorize postmasters to receive deposits for remittance 
to the office of the central savings bank. During 1941-42 interest at 2 per cent, amounting 
to $423,762.13, was credited to the account and charged to Interest on the Public Debt. 

Gold held at March 31, 1942, as required by Section 47 of the Savings Banks Act 
amounted to $2,167,141.34 on the basis of $20-671834 per fine ounce. 

Q The balance at the credit of Government Annuities Account on March 31, 1942, was 
$172,911,035, an increase of $16,857,963 oyer the balance of $156,053,072 on March 31, 1941. 
Disbursements during the year, including annuity and commuted value payments and 
premiums returned, amounted to $9,816,820.52. Receipts amounted to $26,674,783.52, and 
included premiums on immediate and deferred annuities amounting . to $19,683,870.32, 
interest at 4 per cent amounting to $6,373,931.62 and an amount of $616,981.58 transferred 
to the account to maintain the reserve. The actuarial value of outstanding contracts on 
March 31, 1942, was reported to be $172,911,035. 

R The balance at the credit of Insurance and Superannuation Funds represents the recorded 
liability of the Dominion to the several superannuation, retirement and insurance funds. 

No contributions are now being made to the Civil Service Superannuation and Retire- 
ment Act, 1893 (Fund No. 2). Superannuation allowances paid during the year amounted 
to $25,250.92. 

The balance at the credit of the Civil Service Superannuation Act, 1924 (Fund No. 5) 
increased $2,212,782 during the fiscal year. The amount contributed by employees was 
$2,700,766.17, that by the Government, $2,347,225.53; and interest was added to the 
amount of $2,408,586.63. Payments of annuities amounted to $5,031,627.48, gratuities to 
$33,341.12. and withdrawal allowances to $178,827.73. 

The balance at the credit of the Civil Service Retirement Fund increased $1,917,676.32 
during the fiscal year, the increase being much larger than usual due to the inclusion of 
many temporary employees as contributors under the authority of P.C. 1/1569 of April 19, 
1940. Abatements from salaries amounted to $2,274,623.71; interest was added to the 
amount of $142,766.29 and disbursements were $799,713.68. 

The amount at the credit of the Royal Canadian Mounted Police Dependents' Pension 
Fund was $226,689.47 at March 31, 1942, an increase of $71,374.43 over the corresponding 
amount at March 31, 1941. Abatements from pay and pensions totalling S78.944.17 and 
interest amounting to $7,349.06 were credited, and pensions of $224.76 and withdrawal- 
amounting to $14,694.04 were debited to the account during the year. 

The Civil Service Insurance Fund increased by $925,504.52 during the fiscal year. 
Receipts consisted of premium revenue amounting to S3S9.901.70 and interest credited to 
the fund amounting to SS5 1,006.27. Disbursements included payments of death claims. 
$285,517.46; payments of cash surrender values, S32,188.56 and refund of overpaid 
premiums, $697.43. 



16 AUDITOR GENERAL'S REPORT 

The balance at the credit of the Returned Soldiers' Insurance Fund at March 31, 1942 
wa? WW greater than at March 31, 1941 Receipts totalled SWmi and 
included net premium income, $836,377.49 and interest at 4 per cent, $7 86,755.92. Dis- 
bursements totalled $733,084.15 and included annuities, $237,717.05; death benefits $233,- 
400 94- disability claims, $19,646.48; and payments on surrendered policies, $242,319.68. 

The' balance of $43,964,246.68 at the credit of ^ ^^ l ^^\^^ e ^%J^^ 

sents the recorded liability of the Dominion to the Fund. Of this total $38 750,969.28 

en eventing mvestments in and accrued interest, to March 31, 1942 onobhgations of or 

^aranteed by the Government of Canada, is included as an asset in the Dominion Balance 

Sheet under Miscellaneous Current Accounts. _ /IQ , RnQft , 

The amount contributed by employees and employers during 1941-42 was $36,435 609 .05, 
that by the Government $7,287,121.81 and interest received from investments was 

$6 Benefit' payments commenced in February 1942, and at March 31, 1942, a total of 
$27,752.92 had been paid out. 
S This amount represents the liability of the Dominion on account of moneys received 
in trust for others. . . 

The Common School Funds-Ontario and Quebec-is a liability of the Dominion to 
Quebec and Ontario, and was one of the several trust funds held at the time of Con- 
federation as the joint property of Upper and Lower Canada. The fund, which amounted 
to $2 677 770.70 at March 31, 1942, consists of the proceeds arising from the sale ot land 
in the Huron District set apart by c. 200, 1849, for the support and maintenance of 
common schools. Interest at 5 per cent is paid annually and is apportioned to the prov- 
inces according to their respective populations. In 1941-42, the interest payments to 
Quebec and Ontario were $61,018.31 and $72,852.09, respectively 

Contractors Securities Account, which amounted to $6,851,353.78 at March 31, 1942, 
records the cash deposits received from contractors as security for the satisfactory execution 
of contracts, as required under Section 16 of the Public Works Act, etc. Interest at 2 
per cent per annum, amounting in 1941-42 to $116,110.48, is added to the deposits and 
paid to the contractor at the time the deposit is released. ,,,_,■» 

The Indian Funds account is administered by the Indian Affairs Branch of the Depart- 
ment of Mines and Resources under the provisions of Section 92 of the Indian Act. At 
March 31, 1942, the balance of the fund was $14,642,289.97, an increase of $226,474.03 over 
the corresponding balance at March 31, 1941, and was comprised of capitalization of annui- 
ties made prior to Confederation and deposits of amounts received from sales of lands and 
timber and from other sources. Interest amounting to $731,604.93 was credited to the 
Fund during the year, being 5 per cent on $13,334,402.39 and 6 per cent on $1,081,413.55, 
the balances of the funds at March 31, 1941. 

The Pilots' Pension Funds accounts record the liability of the Dominion to the several 
funds. The gross liability at March 31. 1942, amounting to $790,783.85, was offset by 
amounts totalling $773,800, representing Dominion, Provincial and Dominion guaranteed 
bonds held as investments for these funds by the Department of Finance. The : net 
liability at March 31, 1942, in respect to the several funds was as follows: Halifax, 
$6,819.95; Sydney, $1,727.75; Saint John, $2,404.37; Montreal, $4,991.60; British Columbia, 

The balance at the credit of the Government Officers' Guarantee Fund was $200,066.80 
at March 31, 1942, an increase of $40,329.29 over the corresponding balance at the close 
of the previous year. Receipts credited to the fund during the year totalled $40,561.43 and 
included premiums at the rate of 20 cents per $100 of security amounting to $35,936.39 and 
interest at 2^ per cent amounting to $4,625.04. Amounts totalling $232.14 representing 
overpaid premiums were refunded during the year. 

The credit balance of the Royal Canadian Mounted Police Provincial Pension Trust 
Fund at March 31, 1942, was $185,830.69, a decrease of $8,033.94 compared with the balance at 
March 31, 1941. Receipts included amounts received under provincial agreements, 
$4,365.26 and contributions $3,210.47. Disbursements included withdrawals $1,945.17; and 
$13,664.50 contributions of members of the Force transferred on their retirement to Casual 
Revenue. 

Army and Air Deferred Pay Balances, which amounted to $5,950,009 and $762,76559 
respectively on March 31, 1942, consist of deductions of a portion of the pay of members 
of the forces in accordance with Financial Regulations and Instructions. These amounts 
which were charged to allotments from the War Appropriation are held in trust to be 
available upon demobilization without further appropriation by Parliament. 



AUDITOR GENERAL'S REPORT 17 

T Contingent ami Special Funds accounts arc subject to the provisions of subsection 2 of 
Section 22 of the Consolidated Revenue and Audit Act, 1931, which provides (hat issues 
out of the Consolidated Revenue Fund of public moneys received for special purposes 
or in trust may be made for the express purposes for which such money- win received, 
without further parliamentary authority than the provisions of tin 1 subsection, but subject 
to the directions of any particular statute dealing with such special or trust moneys. The 
amounts involved arise out of the administration of the Winding-up Act, the Bank Art, 
etc., and financial transactions occasioned by the war. 



lg AUDITOR GENERAL'S REPORT 

EXPENDITURES AND REVENUES AND OTHER CHARGES 

Expenditures and Charges 

A Ordinary 444,777,695 70 

B Special 63,975,772 56 

C War 1,339,674,152 42 

D Government Owned Enterprises— Net Income Deficits 456,166 13 

E Write-Down of Active and Non-Active Assets to Consoli- 
dated Fund 2,878,131 46 

F Other Charges to Consolidated Fund 25,000,000 00 

Total Expenditures and Charges carried to Consolidated 

Fund 1,876,761,918 27 

G Government Owned Enterprises — Loans and Advances Non- 
Active 758,089 44 

H Other Charges— Non-Active Accounts 4,115,600 91 

I Capital Accounts 3,430,446 59 



Total Expenditures and Charges $1,885,066,055 21 



Certified correct, 



W. C. CLARK, 

Deputy Minister of Finance. 



Comments on Revenue and Expenditure Statement 

A Ordinary expenditures include interest and other charges for floating and servicing the 

public debt, civil and military pensions, subsidies and special grants to the provinces for 

vacating the personal income and corporation tax fields for the duration of the war and 

the general administrative costs of government. 
B Special expenditures include relief and other projects, $8,500,358.67; administrative costs 

of the Prairie Farm Assistance Act, $422,459.67; advances to the Prairie Farm Emergency 

Fund, $11,848,362.14; Wheat Acreage reduction payments, $30,633,763.96; and provision 

for deficits of the Canadian Wheat Board, $12,570,828.12. 
C Included under this heading are all expenditures charged to the War Appropriation under 

the authority of the War Appropriation Act, 1941, and the Supplementary 1941 War 

Appropriation Act. 
D Net income deficits for the calendar year 1941 were due to operating losses of the 

Prince Edward Island Car Ferry and Terminals and the National Harbours Board. 
E Active assets written down to Consolidated Fund amounted to $280,536.41. Non-active 

assets similarly written down amounted to $2,597,595.05. Write-downs of non-active 

assets do not alter the net debt. 
F The $25,000,000 listed as Other Charges to Consolidated Fund is a further amount set 

aside to provide a reserve for possible losses on the ultimate realization of active loans and 

advances. This reserve now stands at $50,000,000. 
G Advances to the National Harbours Board comprised the full amount paid in respect 

to non-active loans and advances to Government-owned enterprises. 
H Other charges to Non-Active Accounts include $99,274.17, being the increase in the 

Canadian National Railways Securities Trust Stock due to the capital gain on the 



AUDITOR GENERAL'S REPORT 19 

AND CREDITS FOR THE YEAR ENDED MARCH 31, 1942 

Revenues and Credits 

J Ordinary 1,463,824,202 71 

K Special 21,060,093 71 

Total Revenues and Credits carried to Consolidated Fund. . 1,484,884,296 42 

L Credits to Non-Active Accounts ' 2,630,393 52 

M Capital Accounts— Refunds 1,021,653 03 

Total Revenues and Credits 1,488,536,342 97 

Net Increase in Debt — 

Consolidated Fund (excess of charges 
over credits) 391,877,621 85 

Capital and Non- Active Accounts (excess 

of charges over credits) 4,652,090 39 

396,529,712 24 



$1,885,066,055 21 



The above accounts have been examined and audited under my 
direction in accordance with the provisions of the Consolidated Revenue 
and Audit Act, and subject to the audit notes appended to the depart- 
mental revenue and expenditure statements, I certify that in my opinion 
they are correct. 

WATSON SELLAR, 

Auditor General. 



redemption of Grand Trunk Railway 4 per cent perpetual debenture stock, and 
$4 .01 6.326.74. representing an increase in the Dominion's equity in the Canadian National 
Railways due to the surplus earnings of the railway during the calendar year 1941. 

I Expenditures on Capital Account include payments in connection with the construction 
and improvement of civil airways and airports, the dredging of the St. Lawrence Ship 
Channel and the Montreal Harbour, and the extension and improvement of control weirs 
in the St. Lawrence river. 

J Ordinary revenues include customs, excise, income and sales taxes, interests on invest- 
ments, and the revenue from the Post Office and other services rendered by government 
departments. 

K Special receipts and credits include the surplus earnings of the Cnnndian National 
Railways during the calendar year 1941 amounting to S4. 01 6. 326 .74; a capital gain of 
S99.274.17 on the redemption of Grand Trunk Railway 4 per cent perpetual debenture stock; 
special and war donations totalling $522.90 and $458,583.82 respectively; war revenue, 
83,183.466.02; refunds of previous years' war expenditures, SI 3 ,200. ISO .08; and refunds of 
previous years' special expenditures, $101,739.98. 

L Credits to non-active accounts include $2,597,595.05 taken into the books as an offset 
to an equivalent amount included in expenditures on account of non-active assets written 
down to Consolidated Fund. The balance of $32,798.47 consisted of a reduction in the 
indebtedness of the National Harbours Board. 

M This amount includes S983.806.08 insurance on moneys received on account of the Joss 
of the Prince Edward Island Car Ferry. The balance consists of refunds of previous 
years' expenditures on Capital Account. 



PART II 



DEPARTMENTAL 

REVENUE AND EXPENDITURE 

STATEMENTS 



22 



AUDITOR GENERAL'S REPORT 
SUMMARIZED STATEMENT OF REVENUES AND CREDITS BY 



Department 



Ordinary- 
Revenue 



Special 
Receipts 



Agriculture 

Auditor General's Office 

Chief Electoral Officer 

Civil Service Commission 

External Affairs 

Finance 

Fisheries 

Insurance 

Justice 

Labour 

Legislation 

Mines and Resources 

Munitions and Supply 

National Defence 

National Revenue 

National War Services 

Pensions and National Health . . . 

Post Office 

Public Archives 

Public Printing and Stationery. . 

Public Works 

Royal Canadian Mounted Police 

Secretary of State 

Soldier Settlement of Canada . . . 

Trade and Commerce 

Transport 

Total 



688,080 

40 

1,000 

30 

640,781 

44,122,002 

416,268 

168,693 

212,193 

1,595 

13,871 

1,026,935 

1,154 

1,911,356 

,358,914,164 

19,267 

656,215 

46,032,348 

2,049 

401,351 

820,195 

1,046,784 

577,681 

1,809 

3,957,583 

2,190,743 



34 

75 
00 
83 
58 
39 
22 
13 
60 
73 
82 
75 
78 
29 
91 
50 
75 
14 
16 
82 
90 
90 
87 
97 
70 



1,600,495 26 
9,137 00 



1,158 70 

4,574,759 43 

39,087 85 



100,567 84 



38,120 71 

1,016,301 85 

13,659,812 88 



1,209 20 



1,090 60 



215 55 

18,136 84 



$1,463,824,202 71 



$21,060,093 71 



AUDITOR GENERAL'S REPORT 



23 



DEPARTMENTS FOR THE YEAR ENDED MARCH 31, 1942 



Total Consolidated 
Fund Revenue 


Credits to 
Non-Active Accounts 


Refunds on 
Capital Account 


Total Revenues 
and Credits 


2,288,576 14 
( .) 177 34 






2,288,576 14 






9,177 34 


1 000 75 






1,000 75 


30 00 






30 00 


641,940 53 






641,940 53 


48,696,762 01 
455,356 24 


2,539,187 21 




51,235,949 22 
455,356 24 


168 693 22 






168,693 22 


212,193 13 






212,193 13 


102,163 44 






102,163 44 


13,871 73 






13,871 73 


1,065,056 53 


58,407 84 




1,123,464 37 


1,017,456 60 
15,571,169 66 


13,208 83 


1,030,665 43 




15,571,169 66 


1,358,914,164 29 

20,477 11 

656,215 50 

46,032,348 75 






1,358,914,164 29 
20,477 11 










656,215 50 






46,032,348 75 


2,049 14 






2,049 14 


401,351 16 






401,351 16 


820,195 82 






820,195 82 


1,046,784 90 

578,772 50 

1,809 87 






1,046,784 90 






578,772 50 






1,809 87 


3,957,799 52 
2,208,880 54 






3,957,799 52 


32,798 47 


1,008,444 20 


3,250,123 21 


$1,484,884,296 42 


$2,630,393 52 


$1,021,653 03 


$1,488,536,342 97 



24 AUDITOR GENERAL'S REPORT 

SUMMARIZED STATEMENT OF APPROPRIATIONS AND EXPENDITURES 



Department 



Appropriations 



Voted and 
Statutory- 



Ordinary 



Special 



Agriculture 

Auditor General's Office 

Chief Electoral Officer 

Civil Service Commission 

External Affairs 

Finance 

Fisheries 

Governor General and Lieutenant Governors ... 

Insurance 

Justice 

Labour 

Legislation 

Mines and Resources 

Munitions and Supply 

National Defence 

National Revenue 

National War Services 

Pensions and National Health 

Post Office 

Prime Minister's Office 

Privy Council Office 

Public Archives 

Public Printing and Stationery 

Public Works 

Royal Canadian Mounted Police 

Secretary of State 

Soldier Settlement of Canada 

Trade and Commerce 

Transport 

War — All Departments 



Total Expenditures 

Loans and Investments — 

Finance 

Soldier Settlement of Canada 

Transport 

Transport — War 

Transport — United Kingdom Financing. 

Total — Loans and Investments. 
Misc. Current Accts. — 

Finance 

Munitions and Supply 



Total — Misc. Current Accts.... 
War Appropriation— unallotted balance. 

Total 



60,568 

471 

282 

425 

1,094 

304,786 

2,229 

233 

181, 

5,744, 

17,237, 

2,079, 

11,974, 

12, 

366, 

13,809, 

726, 

57,183, 

42,877, 

68, 

61, 

142, 

198, 

14,380, 

6,141, 

862, 

869, 

22,980, 

22,455, 

372,708, 



,397 66 
,060 00 
,699 70 
,899 96 
,297 34 
,789 59 
,439 60 
,446 48 
,970 00 
,539 26 
,773 24 
,783 04 
,136 86 
,000 00 
,891 36 
,573 00 
,576 67 
,940 42 
,906 31 
,499 92 
,000 00 
,970 00 
9G5 77 
121 62 
549 74 
846 76 
291 47 
392 13 
454 79 
425 35 



1,963,156,638 04 

4,134,458 86 

3,060,816 37 

54,219,256 59 

18,151,726 00 

191,602,582 22 



271,168,840 04 

10,000 00 
24,657,525 04 



24,667,525 04 
69,186,506 35 



$2,328,179,509 47 



8,429 

456 

281 

399 

995 

248,519, 

1,679, 

225, 

180, 

5,443, 

11,051, 

1,951, 

10,710, 

12, 

265, 

13,427, 

682, 

54,664, 

41,501, 

56, 

54, 

123, 

194, 

11,937, 

5,984, 

822, 

564, 

8,724, 

15,437, 



,787 86 
, 906 46 
,541 34 
,038 19 
,809 42 
,006 74 
,071 55 
,925 25 
,924 28 
,664 65 
,126 96 
,264 55 
,234 94 
,000 00 
,447 59 
,996 38 
,058 29 
,391 88 
,869 04 
,680 14 
,104 79 
,152 33 
,633 45 
,004 94 

663 60 
692 02 
368 81 

664 08 
666 17 



444,777, 



70 



4,134,458 86 

3,055,218 15 

54,093,394 02 



61,283,071 03 



$ 506,060,766 73 



47,013,023 48 



17,952 32 
25,287 14 



2,132,505 90 
435,969 81 



1,150,473 02 



12,913,582 12 
286,978 77 



63,975,772 56 



$ 63,975,772 56 



AUDITOR GENERAL'S REPORT 



25 



BY DEPARTMENTS FOR THE YEAR ENDED MARCH 31, 1942 



Expenditures 


Lapsed 


War 


Government 

Owned 
Enterprises 


Capital 
Accounts 


Write Down 

of Assets 

and Other 

Charges 


Total 












55,442,811 34 

456,906 46 

281,541 34 

399,038 19 

995,809 42 

280,201,360 18 

1,704,358 69 

225,925 25 

180,924 28 

5,443,664 65 

13,183,632 86 

1,951,264 55 

11,204,709 53 

12,000 00 

265,447 59 

13,427,996 38 

682,058 29 

54,664,391 88 

41,501,869 04 

56,680 14 

54,104,79 

123,152 33 

194,633 45 

13,087,477 96 

5,984,663 60 

822,692 02 

835,195 28 

21,638,246 20 

20,369,347 10 

1,339,674,152 42 


5,125,586 32 










14,153 54 










1,158 36 










26,861 77 










98,487 92 








31,664,401 12 


24,585,429 41 








525,080 91 










7,521 23 










1,045 72 










300,874 61 










4,054,140 38 










128,518 49 








58,504 78 


769,427 33 


















101,443 77 










381,576 62 










44,518 38 










2,519,548 54 










1,376,037 27 










11,819 78 










6,895 21 










19,817 67 










4,332 32 










1,292,643 66 










156,886 14 










40,154 74 








270,826 47 


34,096 19 








1,342,145 93 




1,214,255 57 


3,430,446 59 




2,086,107 69 


1,339,674,152 42 




33,034,272 93 












1,339,674,152 42 


1,214,255 57 


3,430,446 59 


31,993,732 37 


1,885,066,055 21 

4,134,458 86 

3,055,218 15 

54,093,394 02 

18,149,150 89 

191,602,582 22 


78,090,582 83 










5,598 22 










125,862 57 


18,149,150 89 








2,575 11 


191,602,582 22 




















209,751,733 11 








271,034,804 14 

10,000 00 
24,657,525 04 


134,035 90 


10,000 00 










24,657,525 04 




















24,667,525 04 








24,667,525 04 












69,186,506 35 














SI, 574,093,410 57 


$1,214,255 57 


$ 3,430,446 59 


$31,993,732 37 


$2,180,768,384 39 


$ 147,411,125 08 



59727—3 



. 686.820 88 
1,260 00 

688,080 88 
1,920 74 


664,490 32 
1,975 00 

666,465 82 
4,654 01 


$ 690,001 62 


$ 671,119 33 



DEPARTMENT OF AGRICULTURE 
REVENUES 

Summary 

1941-42 1940-41 

Ordinary Revenue — 

Casual Revenue 

Fines and Forfeitures 

Special Revenue 



Details 

Casual Revenue — 

A Experimental Farms: Ottawa, $40,024.44; Kentville, N.S., $8,585.61; Nappan, 
N.S., $12,373.43; Charlottetown, P.E.I., $3,283.56; Summerside, P.E.I., 
$3,591.11; Fredericton, N.B., $7,467.56; Ste. Anne de la Pocatiere, Que., 
$9,439.58; Normandin, Que., $5,530.03; Ste. Clothilde, Que., $1,945.59; 
Lennoxville, Que., $11,405.11; L'Assomption, Que., $4,625.62; Kapuskasing, 
Ont., $11,812.96; Harrow, Ont., $13,902.66; Morden, Man., $7,906.97; 
Brandon, Man., $12,297.86; Indian Head, Sask., $10,419.22; Indian Head, 
Sask., Forest Nursery Station, $2,947.62; Sutherland, Sask., Forest Nursery 
Station, $291.67; Rosthern, Sask., $280.97; Scott, Sask., $5,463.98; Melfort, 
Sask., $3,045; Swift Current, Sask., $9,934.99; Lethbridge, Alta., $11,139.14; 
Lacombe, Alta., $8,770.27; Manyberries, Alta., $168.45; Beaverlodge, Alta., 
$1,333.57; Fort Vermilion, Alta., $824.72; Windermere, B.C., $12,605; Sum- 
merland, B.C., $6,993.54; Agassiz, B.C., $12,049.23; Sidney, B.C., $2,501.25; 
Smithers, B.C., $1,140.64; Prince George, B.C., $1.661.46 245,762 81 

B Prairie Farm Rehabilitation: Sales of produce, $24,340.34; sales of live stock, 
$2,064.55; sales of equipment and supplies, $874.56; community pasture 
fees, $66,537.06; rental of equipment, $787.81; water rates, $4,250.07; 
miscellaneous, $1,071.83 99,926 22 

C Inspection Fees: Fruit car grading and inspection, $119,728.52; animal 
inspections, $9,091.92; egg inspections, $1,377.72; dressed poultry inspec- 
tions, $856.23; fur grading and inspection, $6,458.25; field crop inspection, 
$20,816.44; seed testing, inspection, etc., $33,903.28; miscellaneous $1,621.72 193,854 08 

D Registration and Licence Fees: Feeding Stuffs Act, $7,401.92; Fertilizers 
Act, $8,813; Fruit, Vegetables and Honey Act, $18,556.50; Maple Sugar 
Industry Act, $460; Pest Control Products Act, $7,198.08; Seeds Act, $435. . 42,864 50 

E Fumigation Fees: Fumigation of infected nursery stock, $6,729.71; fumiga- 
tion of imported merchandise packed in fodder, $718.60 7,448 31 

F Record of Performance Fees: Cattle herd fees, $11,187.76; poultry fees, 

$10,123.11 21,310 87 

G Rentals of government-owned buildings 28,905 07 

H Race Track Supervision: Receipts from clubs, $18,398.35; less expenses of 

supervision, $14,891.07 3,507 28 

I Miscellaneous Sales 33,716 05 

J Refunds of previous years' expenditures 9,158 19 

K Miscellaneous 367 50 

686,820 88 

26 



DEPARTMENT OF AG RICA! LTV RE 27 

Fines and Forfeitures — Animal Contagious Diseases Act, $110; Dairy [ndu 
Act, S505; Feeding Stuffs Act, s:;u ; Livi Stock and Liv< Stock Prodi 
Act, 821."); Pes! Control Products Act, $100; Maple Sugar [ndustry Act, 
$36; Seed* let, $65; War Measures \ ■ $160; Prairie Farm Rehabilitation 
Act. deposits od plan- retained, $30 1,260 00 

Special Revenue — Refunds of previous years' expenditures in the drought art 
of tin 1 Provinces of Saskatchewan and Alberta: Dinct Relief Agreements, 
$1,295.16; Feed and Fodder Agreements, $466.62; Prairie Farm Rehabilita- 

t ion, S158.96 1 920 74 



S 090,001 62 
Certified correct. 

H. BARTON, In accordance with the provision 

Deputy Minister. section 45 (1) of the Consolidated R< 

and Audit Act I have satisfied myself that 
the above revenues for 1941-42 hav< Imn 
fully accounted for. 

WATSON SELLAR, 

Auditor General. 

Comments on Revenues 

A Experimental Farms: S223.499.24 represents receipts from sales of live stock and produce. 
$6,145.85 was received on account of the sale of 5 flax scutching machines. 812,500 was 
derived from the sale of the Windermere Experimental Station. 

C Inspection Fees: Fruit car grading and inspection fees are collected under authority 

of the Fruit, Vegetables and Honey Act; egg inspection fees, dressed poultry inspection 
fees, fur grading and inspection fees under the Live Stock and Live Stock Products Act; 
field inspection fees, seed testing and inspection fees, etc., under the Seeds Act. Although 
inspections are required to be made under the Animal Contagious Diseases Act and the 
Meat and Canned Foods Act, there is no specific authority for the collection of fees. 

E Fumigation Fees: All charges in connection with the treatment of nursery stock, 
entering Canada, which is found to be infected, are recovered from the importer under 
authority of the Destructive Insect and Pest Act. Under the Animal Contagion- D 

merchandise imported in hay, straw or other raw product of the soil must be dis- 
infected before entry. When fumigated at a Canadian fumigation station, fees are collected 
by ministerial authority. 

F Record of Performance Fees are collected by ministerial authority. 

G Rentals are derived chiefly from employees occupying dwellings on Experimental Farms. 

II Race Track Supervision: Section 235 of the Criminal Code provides for the appoint- 
ment by the Minister of Agriculture of an officer who is required to approve of the typ< 
of pari-mutuel machines used, to supervise the operations of the machines, and to enforce 
the provisions of the Code relating to race-track betting; tic expense incident to 
such supervision to be borne by the sponsoring racing association, lw vided 

for by daily fees levied against race-track meetings. From the revenue so oh: 

- of supervision are paid. In the province of Quebec civilian supervisors an employed, 
while in other provinces officers of the Royal Canadian Mounted Police perform this 
function. Payments to the Royal Canadian Mounted Police, with tin exception of out- 
of-pocket expenses arising in connection with this activity, an 1 deposited to the Poliet 
Benefit Fund under authority of Section 21 of the Royal Canadian Mounted Police \ I 

I S22,322.62 was derived from the sale of bulls purchased originally under the Bull 
Loaning Policy. 

J Of this amount, S7, 109.11 represents refunds from tin Bevi ral province r transpor- 
tation costs of veterinary inspectors engaged in bovine tubercul Vnimal 
Contagious Diseases Art stipulates that transportation charges from farm to farm 
charge against the Provinces. 

59727— 3J 



Z8 



AUDITOR GENERAL'S REPORT 



APPROPRIATIONS AND EXPENDITURES 

A total of $60,568,397.66 was available for expenditure on account of the Department 
of Agriculture, of which $48,683,233.32 was provided in the annual appropriation acts, 
$11,865,822.14 was authorized by continuing statutory provisions, and $19,342.20 was trans- 
ferred from the annual appropriations for the Department of Finance. Expenditures were 
$55,442,811.34 for the fiscal year 1941-42, an increase of $38,430,166.75 as compared with those 
of $17,012,644.59 in 1940-41. 

In addition, a total of $31,298,283.14 was allotted to the Department from the War 
Appropriation. Expenditures thereunder amounting to $27,387,361.21 are shown in the 
War Expenditures section of this report. 

No. of 
Vote Appropriations Expenditures Lapsed 

ADMINISTRATION SERVICE 

Statutory Salary of Minister — Salaries Act, 

c. 182, R.S 10,000 00 10,000 00 

Statutory Motor Car Allowance to Minister 

— Appropriation Act No. 5, c. 61, 

1931 2,000 00 2,000 00 

1 Departmental Administration.... 121,925 00 111,773 62 10,15138 

2 ) 

420 > Publicity and Extension Division 112,196 96 112,196 96 

3 Advisory Committee on Agricul- 

tural Services 3,000 00 1,684 41 1,315 59 

4 Contributions to Empire Bureaux 33,823 34 31,066 50 2,756 84 

SCIENCE SERVICE 

42 ^> Science Service Administration... 23,726 55 23,726 55 

6 Animal and Poultry Pathology. 148,310 00 138,681 27 9,628 73 

7 Bacteriology and Dairy Research 40,497 00 39,513 61 983 39 

42 q| Botany and Plant Pathology.... 289,744 11 289,744 11 

Q } 

42 ^ J Agricultural Chemistry 99,862 80 99,862 80 

101 

471 j- Entomology 467,010 78 467,010 78 

420 J 

EXPERIMENTAL FARMS SERVICE 

11 Experimental Farms Administra- 

tion 59,970 00 59,348 41 621 59 

12 Central Experimental Farm 588,870 00 584.767 06 4,102 94 

13 Branch Farms and Stations and 

Illustration Stations 1,300,886 00 1,292,720 55 8,165 45 

PRODUCTION SERVICE 

14 Production Service Administra- 

tion 35,560 00 34,209 26 1,350 74 

Health of Animals — 

15 Administration of Animal Con- 
tagious Diseases Act and Meat 

and Canned Foods Act 1,652,495 00 1,580,987 03 71,507 97 

16 Compensation for animals 

slaughtered 530,000 00 358,404 18 171,595 82 



DEPARTMENT OF AGRICULTURE 



29 



No. of 
Vote 



472 



17 
181 
♦416 5 
19 



20 



21 



22 
23 

24 1 
*417j 

25 1 
473 ] 



26 



271 

♦418 j 
28 



Appropriations Expenditures 

PRODUCTION SERVICE — Cone. 

Payment of compensation to 
owners of animals affected with 
diseases coming under the op- 
eration of the Animal Contagi- 
ous Diseases Act, which have 
died or have been slaughtered 
under circumstances unprovid- 
ed for under the above Act and 
regulations thereunder, in the 
amounts detailed in the 
Estimates 297 31 

Live Stock and Poultry 707.597 55 

Plant Protection 264,373 00 

Plant Products — Seeds, Feeds, Fer- 
tilizers, Insecticides and Fungi- 
cides Control, including grant 
of $18,900 to Canadian Seed 
Growers' Association 521,642 00 495,129 41 

Grants to Fairs and Exhibitions, 
in the amounts detailed in the 
Estimates 65,000 00 65,000 00 

Grants to Agricultural organiza- 
tions, in the amounts detailed 
in the Estimates 35,500 00 35,500 00 

MARKETING SERVICE 

Marketing Service Administration 95,252 00 81,930 62 

Agricultural Economics 97,245 00 89,37167 

Dairy Products 358,718 00 357,961 16 

Subsidies for Cold Storage Ware- 
houses under the Cold Storage 
Act, and Grants, in the amounts 
detailed in the Estimates 127,197 12 44,142 66 

Fruit, Vegetable and Maple 
Products and Honey, including 
grant of $5,000 to the Canadian 
Horticultural Council 527,110 00 525,362 95 

Live Stock and Live Stock 

Products 536,766 00 530,592 45 

Marketing of Agricultural Pro- 
ducts, including temporary 
appointments that may be 
required to be made, notwith- 
standing anything contained in 
the Civil Service Act, the 
amount available for such ap- 
pointments not to exceed 
$13,000 25.000 00 24.512 97 



Lapsed 



297 31 




679,521 39 


28,076 16 


257,308 17 


7,064 83 



26,512 59 



13,321 38 
7373 33 

756 84 



83,054 46 

1,747 05 
6.173 55 



487 03 



SUPERANNUATION AND 
RETIREMENT BENEFITS 

Statutory Gratuities to families of deceased 
employees, Civil Service Act, 
c. 22, R.S 



5,460 00 



Total Ordinary Expenditures.. 8.887,035 52 



5.460 00 



8.429.787 86 



457,247 66 



30 AUDITOR GENERAL'S REPORT 

N °- of T ' 

Vote Appropriations Expenditures Lapsed 

SPECIAL 

29 Prairie Farm Rehabilitation Act 

and Water Storage 2,500,000 00 2,406,503 29 93,496 71 

Statutory Prairie Farm Assistance Act, 

c. 50, 1939 11,848,362 14 11,848,362 14 

30 Prairie Farm Assistance Act.... 500,000 00 422,459 67 77,540 33 

31 ] Assistance to encourage the 
475 }- Improvement of Cheese and 

*419J Cheese Factories 1,745,000 00 1,676,366 56 68,633 44 

32 Assistance for the replacement of 

maple production equipment... 75,000 00 12,576 79 62,423 21 

474 Science Service Buildings — To 

complete construction 13,000 00 12,991 07 8 93 

422 Payments on reductions in wheat 
acreage, under conditions pre- 
scribed by the Governor in 
Council, for administration 
expenses in connection there- 
with, and for temporary ap- 
pointments that may be re- 
quired notwithstanding any- 
thing contained in the Civil 
Service Act 35,000,000 00 30,633,763 96 4,366,236 04 

Total Special Expenditures.... 51,681,362 14 47,013,023 48 4,668,338 66 

Total $60,568,397 66 $55,442,811 34 $5,125,586 32 

The above accounts have been examined 
and audited under my direction, in accord- 
Certified correct. ance with the provisions of the Consolidated 

Revenue and Audit Act, and subject to the 
B. G. McINTYRE, observations in this report, I certify that in 

Comptroller of the Treasury. my opinion they are correct. 

WATSON SELLAR, 

- — • Auditor General. 

*Supplementary vote. 

ADMINISTRATION SERVICE 

Salary of Minister of Agriculture, Salaries Act, c. 182, R.S $ 10,000 00 



Comments on Expenditures 
Minister of Agriculture, Hon. J. G. Gardiner. 

Motor car allowance to Minister, Appropriation Act No. 5, c. 61, 1931. .$ 2,000 00 

Vote 1 Departmental Administration 121,925 00 

Expenditures 111,773 62 

Lapsed $ 10,151 38 

Estimates Allotments 

details authorized Expenditures 

A Salaries 96,070 00 96.070 00 92,876 17 

B Miscellaneous 300 00 300 00 279 87 

C Printing and Stationery 15,055 00 15,055 00 11,731 73 

D Telephones, Telegrams and Postage 3,500 00 3,500 00 2,242 30 

E Travelling Expenses 7,000 00 7,000 00 4,643 55 

$ 121,925 00 $ 121,925 00 $ 111,773 62 



DEPARTMENT OE AGRICULTURE 31 

Comments on Expenditures 

A As of March 31, 1942, there were 51 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date: G. S. H. Barton, Deputy Minister, 
$10,000; D. Allan, $4,0$0; W. C. M. Becksted, $2,400; J. G. Bouchard, $4,800; D. L. 
Burgess, $3,720; I. J. Cummings, $3,720; B. M. Deachman, $2,400, secretarial allowance, 
$300; A. L. Shaw, $2,700; E. F. Steele, $4,020; G. A. Traill, $2,400. 

E Includes payments of $300 or over to the following: Hon. .J. G. Gardiner, $2,488.12; 
D. M. Allan. $1,089.54; J. G. Bouchard, $740.80. 

Vote 2 Publicity and Extension Division 109,650 00 

Vote 420 Cost-of-living bonus, supplement 2,546 96 

112,196 96 
Expenditures $ 112,196 96 

Estimates Allotments 

details authorized Expenditures 

A Salaries and Wages 75,650 00 80,213 51 80,213 51 

B Express, Freight and Cartage 4,000 00 3,332 49 3,332 49 

C Printing and Stationery 17,200 00 16,308 27 16,308 27 

D Supplies and Materials 6,000 00 5,634 33 5,634 33 

E Telephones, Telegrams and Postage 1.800 00 2.287 90 2,287 90 

F Travelling Expenses 5.000 00 4,420 46 4,420 46 



$ 109,650 00 $ 112,196 96 $ 112,196 96 



Comments on Expenditures 

A As of March 31, 1942, there were 43 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date, or at date of separation (shown in 
brackets): G. J. Fixter, $2,520; F. James, $3,720; P. M. McArthur, $3,060 (Mar. 12, noon); 
J. S. McGiffin, $2,640; F. C. Nunnick, $4,320. 
Wages of labourers and casual employees amounted to $8,655.14. 

F Includes payments of $300 or over to the following: W. A. Garland, $476.14; F. C. 
Nunnick. $1,250.58; L. A. O'Neill, $670.07; G. F. F. Reynolds, $706.03. 

Vote 3 Advisory Committee on Agricultural Services 3,000 00 

Expenditures 1,684 41 



Lapsed $ 1,315 59 



Estimates Allotments 

details authorized Expenditures 

A Salaries 1,320 00 1,320 00 249 33 

B Miscellaneous Services, including Travel- 
ling Expenses 1,680 00 1,680 00 1,435 08 

$ 3,000 00 S 3,000 00 1 1,684 41 



Comments on Expenditures 

B Includes payment of travelling expenses, C. F. Bailey, $443.45. 

Vote 4 Contributions to Empire Bureaux 33,823 34 

Expenditures 31,066 50 

Lapsed $ 2,756 84 

Estin 

details Expenditures 

A Farnham House Laboratory 6.083 33 5,587 50 

B Imperial Agricultural Bureaux 19.466 67 17,880 00 

C Imperial Bureau of Entomology 5.353 34 4.917 00 

D Imperial Bureau of Mycology 2.920 00 2.6S2 00 

$ 33.823 34 S 31.066 50 



32 



AUDITOR GENERAL'S REPORT 



Comments on Expenditures 

The Agricultural Bureaux collect, collate and disseminate information on agricultural 
research and generally assist research workers throughout the Empire. 

At a conference held in 1936 it was agreed that for the ensuing five years the basis of 
Canada's contributions should be as follows: Farnham House Laboratory, £1,250; Imperial 
Agricultural Bureaux, £4,000; Imperial Bureau of Entomology, £1,100; Imperial Bureau 
of Mycology, £600. 

The differences between the amounts voted and those expended are due to the fact that 
the estimates were based on the par rate of exchange, viz., $4.86f . The established rate is $4.47. 



SCIENCE SERVICE 

Vote 5 Science Service Administration 23,517 00 

Vote 420 Cost-of-living bonus, supplement 209 55 

23,726 55 

Expenditures .....$ 23,726 55 

Estimates Allotments 

details authorized Expenditures 

A Salaries 16,785 00 19,652 88 19,652 88 

B Co-operative Investigations 2,500 00 2,250 00 2,250 00 

C Printing and Stationery 2,532 00 571 39 571 39 

D Supplies and Materials 100 00 26 78 26 78 

E Telephones, Telegrams and Postage 100 00 111 73 111 73 

F Travelling Expenses 1,500 00 1,113 77 1,113 77 

$ 23,517 00 $ 23,726 55 $ 23,726 55 



Comments on Expenditures 

A As of March 31, 1942, there were 9 employees paid from this vote. The following were 

receiving annual salaries of $2,400 or over on that date: T. B. G. Rankin, $2,400; J. M. 

Swaine, $6,900; H. L. Trueman, $3,480. 
B Includes grants authorized by the Governor in Council as follows: National Research 

Council of Canada, $1,200 for investigations on spectrographic analysis of soils and plants; 

Macdonald College, Que., $600 for investigations on the control of intestinal parasites of 

sheep and $450 for investigations in growing leafy vegetables. 
F Includes payment to J. M. Swaine of $851.24. 

Vote 6 Animal and Poultry Pathology 148,310 00 

Expenditures 138,681 27 

Lapsed $ 9,628 73 

Estimates Allotments 

details authorized Expenditures 

A Salaries and Wages 121,340 00 121,340 00 116,990 08 

B Buildings and Lands 2,000 00 2,000 00 571 70 

C Equipment 1,000 00 1,000 00 616 33 

D ' Express, Freight and Cartage 550 00 900 00 873 61 

E Miscellaneous 1,800 00 2,350 00 2,326 44 

F Printing and Stationery 3,000 00 3,000 00 2,469 22 

G Supplies and Materials 13,590 00 13,590 00 12,128 42 

H Telegrams, Telephones and Postage 250 00 250 00 199 90 

I Travelling Expenses 4,780 00 3,880 00 2,505 57 

$ 148,310 00 $ 148,310 00 $ 138,681 27 



DEPARTMENT OF AGRICULTURE 33 

Comments on Expenditures 

A Afi of March 31, 1942, there were 50 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date: J. C. Bankier, $2,700; E. W. Bond, 
$2,520; E. A. B. Bruce, $3,120, and house valued at $360; R. Gwitkin. S3 .060, and house 
valued at $480; L. M. Heath, $3,660; H. Konst, $3,180; C. Mackie, $2,520; C. W. Mcintosh. 
$3,660; C. A. Mitchell, $4,140; T. Moore, $2,700; P. J. G. Plummer, $2,700; J. C. Reid, 
$3,660; W. E. Swales, $2,940; E. A. Watson, $4,920; C. H. Weaver, $3,660; A. B. Wickware, 
$3,120. 

Wagefl of labourers and casual employees amounted to $20,185.09. 

I Includes payments of $300 or over to the following: L. Castles, $342.12; R. Gwatkin, 
$523.76; E. A. Watson, $428.24. 

Vote 7 Bacteriology and Dairy Research 40,497 00 

Expenditures 39,513 61 

Lapsed . . : $ 983 39 



A Salaries and Wages 

B Equipment 

C Express, Freight and Cartage 

D Miscellaneous 

E Printing and Stationery 

F Supplies 

G Telegrams, Telephones and Postage, 

H Travelling Expenses 



Comments on Expenditures 

A As of March 31, 1942, there were 16 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date: H. L. Berard, $2,520; E. G. Hood, 
$3,780; C. K. Johns, $3,180; A. G. Lochhead, $4,140; A. H. White, $2,940. 
Wages of labourers and casual employees amounted to $1,059.10. 

H Includes payment to E. G. Hood of $427.23. 

Vote 8 Botany and Plant Pathology 285,097 00 

Vote 420 Cost-of-living bonus, supplement 4,647 11 

289,744 11 
Expenditures $ 289,744 11 



Estimates 


Allotments 






details 


authorized 


Expenditures 


35,420 00 


35,731 10 




35,731 10 


500 00 


443 90 




149 08 


100 00 


100 00 




43 95 


150 00 


350 00 




267 66 


1.007 00 


632 00 




536 09 


1,800 00 


2,050 00 




1,823 51 


100 00 


100 00 




37 72 


1,420 00 


1,090 00 




924 50 


$ 40,497 00 


$ 40,497 00 


$ 


39,513 61 



Estimates 
details 

A Salaries and Wages 247,177 00 

B Buildings and Lands 

C Equipment 5,000 00 

D Express. Freight and Cartage 1,140 00 

E Miscellaneous 1.805 00 

F Printing and Stationery 7.000 00 

G Rents 3.580 00 

H Supplies 5,225 00 

I Telegrams, Telephones and Postage 2,009 00 

J Travelling Expenses 12,16100 



Allotments 




authorized 


Expenditures 


249,760 23 


249,760 23 


11 75 


11 75 


6,150 13 


6.150 13 


542 78 


542 78 


1.676 97 


1.676 97 


7.189 79 


7.189 79 


3.417 00 


3.417 00 


9,058 37 


9.058 37 


1,134 30 


1.134 30 


10.802 79 


10.802 79 



$ 2S5.097 00 S 289,744 11 $ 289.744 11 

59727—4 



34 AUDITOR GENERAL'S REPORT 

Comments on Expenditures 

A As of March 31, 1942, there were 97 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date: G. H. Berkeley, $3,240; W. C. 
Broadfoot, $2,880; A. M. Brown, $2,400; A. R. T. Buckley, $2,580; G. C. Chamberlain, 
$3,180; I. L. Connors, $3,180; M. W. Cormack, $2,700; J. H. Craigie, $4,140; F. L. Drayton, 
$3,660; R. E. Fitzpatrick, $2,400; W. L. Gordon, $2,880; F. J. Greaney, $3,180; H. Groh, 
$3,180; H. T. Gussow, $5,220; A. A. Hildebrand, $2,400; J. F. D. Hockey, $3,180; J. L. 
Howatt. S2.700; R. R. Hurst, $3,180; T. Johnston, $2,880; W. Jones, $2,400; L. W. Koch, 
$2,880; C. W. Leggatt. $3,660; J. E. Machacek, $2,400; D. J. MacLeod, $3,180; R. MacRae, 
$2,700- A. W. McCallum, $2,880; H. R. McLarty, $3,660; H. W. Mead, $2,400; I. Mounce, 
S3.180; M. Newton, $3,240; W. Newton, $3,180; C. Perreault, $2,880; B. Peterson, $2,400; 
W. Popp, S2.400; H. N. Racicot, $3,180; J. K. Richardson, $2,400; C. G. Riley, $2,880; 
R. C. Russell, $2,880; B. J. Sallans, $2,700; G. B. Sanford, $3,180; G. A. Scott, $2,700; 
H. A. Senn, $2,940; P. M. Simmonds, $3,240; R. S. Willison, $2,880; G. E. Woolliams, $2,700. 
Wages of labourers and casual employees amounted to $31,838.69. 

C Includes purchase of 4 new cars at a net cost of $3,766.23 after deducting $1,225 allowance 
on 3 trade-ins. 

J Includes payments of $300 or over to the following: J. E. Bier, $613.63; A. A. Hilde- 
brand, $394.16; L. W. Koch, $448.45; A. W. McCallum, $602.58; G. A. Scott, $358.26. 

Vote 9 Agricultural Chemistry 99,411 00 

Vote 420 Cost-of-living bonus, supplement 451 80 

99,862 80 
Expenditures $ 99,862 80 



A Salaries and Wages 

B Equipment 

C Express, Freight and Cartage 

D Miscellaneous 

E Printing and Stationery 

F Supplies and Materials 

G Telegrams, Telephones and Postage 

H Travelling Expenses 



Estimates 


Allotments 




details 


authorized 


Expenditures 


85,040 00 


87,386 45 


87,386 45 


2,540 00 


2,445 58 


2,445 58 


550 00 


433 35 


433 35 


350 00 


402 87 


402 87 


1,400 00 


1,087 53 


1,087 53 


7,431 00 


6,897 90 


6,897 90 


100 00 


72 55 


72 55 


2,000 00 


1,136 57 


1.136 57 



$ 99,411 00 $ 99.862 80 $ 99,862 80 



Comments on Expenditures 

A As of March 31, 1942, there were 41 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date, or at date of separation (shown 
in brackets): C. E. Allen, $3,180; E. R. G. Emslie, $2,700; G. R. Giles, $3,180; H. S. 
Hammond, $3,180; B. Hedley, $2,700; F. A. Herman, $3,300; J. T. Janson, $3,660; F. B. 
Johnston, $2,700; C. H. Robinson, $4,620; H. H. Selwyn, $2,400; C. J. Watson, $3,660; 
J. C. Woodward, $2,580 (Dec. 1, military leave) ; L. E. Wright, $3,660. 
Wages of labourers and casual employees amounted to $3,203.53. 

Vote 10 Entomology 443,524 00 

Vote 471 Further amount required 12,000 00 

Vote 420 Cost-of-living bonus, supplement 11,486 78 

467,010 78 
Expenditures $ 467,010 78 



DEPARTMENT OF AGRICULTURE 35 

Estimates Allotments 

details authorized Expenditures 

A Salaries and Wages 372,055 00 388,446 77 388,446 77 

B Buildings and Lands 1,340 00 1,552 05 1,552 05 

C Equipment 3,569 00 3,379 00 3,379 00 

D Express, Freight and Cartage 2,225 00 2,323 09 2,323 09 

E Miscellaneous 3.700 00 4,084 49 4,084 49 

F Printing and Stationery 11,500 00 8,447 94 8,447 94 

G Rents 3.979 00 3,589 00 3,589 00 

H Supplies and Materials 24,306 00 15,876 66 15,876 66 

I Telegrams, Telephones and Postage .... 3,500 00 2,172 74 2.172 74 

J Travelling Expenses 29,350 00 37,139 04 37,139 04 

$ 455,524 00 S 467.010 78 $ 467,010 78 



Comments on Expenditures 

A As of March 31, 1942, there were 174 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date, or at date of separation (shown 
in brackets): T. Armstrong, $2,400; A. P. Arnason, $2,700; C. E. Atwood, $2,400; A. B 
Baird, $3,660; R. E. Balch, $3,180; G. Beall, $2,400; R. D. Bird, $3,180; A. W. A 
Brown, $2,400; W. J. Brown, $3,180; E. R. Buckell, $3,180; H. G. M. Crawford, $4,140 
L. Daviault, $2,400; J. J. de Gryse, $4,140; W. Downes, $2,700; A. G. Dustan, $3,180 
C. Farstad, $2,400; W. G. P. Garlick, $2,700; A. Gibson, $5,220; R. Glen, $2,700; R 
Glendenning, $2,700; R. P. Gorham, $2,700; A. R. Graham, $2,400; H. E. Gray, $3,180: 
J. D. Gregson, $2,400; J. A. Hall, $2,400; G. H. Hammond, $2,400; R. H. Handford 
S2,400; F. C. Hennessey, $2,700 (Nov. 8); G. R. Hopping, $2,760; C. B. Hutchings 
S2,880; K. M. King, $3,660; G. A. Mail, $3,180; J. B. Maltais, $2,400; G. F. Manson 
S2,700; J. Marshall, $3,060; J. H. McDunnough, $4,140; R. H. Painter, $2,400; N. A 
Patterson, $2,700; L. C. Paul, $2,400; O. Peck, $2,400; C. E. Petch, $3,180; A. D 
Pickett, $3,060; M. L. Prebble, $2,700; W. A. Reeks, $2,400; H. A. Richmond, $2,400 
W. A. Ross, $3,660; H. L. Seamans, $3,660; L. J. Simpson, $2,700; C. W. Smith, $2,880 
G. J. Spencer, $2,520 (Sept. 1); K. E. Stewart, $2,700; G. M. Stirrett, $3,180; C. R. Twinn 
S3. 180; E. P. .Venables, $2,400; G. S. Walley, $2,880; E. B. Watson, $3,180; R. M 
White, $2,400; G. Wishart, $2,700. 

Wages of labourers and casual employees amounted to $38,253.10. 

C Includes the purchase of 2 new cars at a net cost of $1,321.26 after deducting $1,100 
allowance on 2 trade-ins. 

J Includes payments of $300 or over to the following: A. B. Baird, $425.59; A. D. Baker 
$844.78; A. A. Beaulieu, $459.56; F. M. Cannon, S454.98; H. G. Crawford, $305.59; L 
Daviault, $443.51; J. J. de Gryse, $679; W. Downes, $303.39; T. N. Freeman, $552.29 
A. Gibson, S840.18; R. P. Gorham, $435.27; D. E. Gray, $452.79; G. H. Hammond, $651.76 
G. R. Hopping. $599.22; J. B. Maltais, $633.61; J. Marshall, $315.24; H. W. Moore, $327.31 
R. H. Painter, $464.65; J. P. Perron, $497.89; C. E. Petch, $565.74; H. A. Richmond, 
$337.33; R. M. White, S358.40. 

Purchases of gasoline amounting to $1,000 or more were made from the following firms: 
Imperial Oil Limited, $2,510.37; McColl-Frontenac Oil Co., $1,105.06. 

EXPERIMENTAL FARMS SERVICE 

Vote 11 Experimental Farms Administration 59,970 00 

Expenditures 59,348 41 

Lapsed $ 621 59 

59727— 4J 



36 



AUDITOR GENERAL'S REPORT 



A Salaries and Wages 

B Equipment 

C Miscellaneous 

D Printing and Stationery 

E Supplies and Materials 

F Telegrams, Telephones and Postage 

G Travelling Expenses 



Estimates 


Allotments 






details 


authorized 


Expenditures 


54,070 00 


53.420 00 




53,384 11 


400 00 


400 00 




302 32 


600 00 


650 00 




613 81 


2,500 00 


2,700 00 




2,591 84 


800 00 


1,000 00 




981 15 


600 00 


600 00 




557 99 


1,000 00 


1,200 00 




917 19 






$ 59,970 00 


$ 59,970 00 


$ 


59,348 41 



Comments on Expenditures 

A As of March 31, 1942, there were 25 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date: E. S. Archibald, Director, $7,500; 
H. C. Ensor, $3,480; F. W. Graves, $3,000; W. F. Hanchet, $2,700; E. S. Hopkins, $5,220; 
T. J. Kendrick, $2,760. 
Wages of labourers and casual employees amounted to $1,864.29. 

G Includes payment to the Director, E. S. Archibald, $858.15. 

Vote 12 Central Experimental Farm 588,870 00 

Expenditures 584,767 06 

Lapsed $ 4,102 94 



A Salaries and Wages 

B Buildings and Lands 

C Equipment 

D Freight, Express and Cartage 

E Miscellaneous 

F Printing and Stationery 

G Rents 

H Supplies and Materials 

I Feed 

J Telegrams, Telephones and Postage. 

K Travelling Expenses 



Estimates 


Allotments 




details 


authorized 


Expenditures 


488,040 00 


481,278 09 


481,234 54 


3.520 00 


2,273 11 


2,273 11 


13,150 00 


15,450 60 


15,450 60 


2.105 00 


2,479 33 


2,479 33 


3.520 00 


1,630 71 


1,630 71 


19,450 00 


19,450 00 


18,274 82 


2,360 00 


4,751 89 


4,751 89 


23,720 00 


27,984 78 


27,984 78 


15,610 00 


14,584 67 


12,330 00 


1,835 00 


1,835 00 


1,205 46 


15,560 00 


17,151 82 


17,151 82 


$ 588,870 00 


$ 588,870 00 


$ 584,767 06 



Comments on Expenditures 

A As of March 31, 1942, there were 139 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date, or at date of separation (shown 
in brackets): R. W. Arengo-Jones, $2,520; J. Maxwell Armstrong, $3,540; J. Morris 
Armstrong, $3,180; A. H. W. Birch, $2,580 (May 24) ; D. S. Blair, $3,180; E. Braun, $2,460; 
F. S. Browne, $3,660; P. R. Cowan, $3,180; M. B. Davis, $4,620; A. Deakin, $3,060; R. A. 
Derick, $3,180; F. Dimmock, $3,660; W. Ferguson, $2,400; E. B. Fraser, $3,180; J. G. C. 
Fraser, $3,660; L. E. Gilmore, $2,700; C. B. Gooderham, $3,660; D. D. Gray, $3,120 
(Aug. 2); H. S. Gutteridge, $3,180; H. Hill, $3,180; A. W. S. Hunter, $2,700; R. J. 
Hutchinson, $3,780; W. Kalbfleisch, $2,820; A. Kellett, $2,700; G. Knowles, $2,520; A. 
Leahey, $3,240; C. D. MacKenzie, $2,700 (Oct. 11, military leave); E. M. MacKey, 
$2,700; N. A. MacRae, $3,660; R. M. MacVicar, $2,580; W. G. McGregor, $3,180; 
H. D. Mitchell, $2,700; G. W. Muir, $4,140; S. S. Munro, $3,060; N. T. Nelson, $4,140; 
L. H. Newman, $4,920; F. S. Nowosad, $2,580; R. W. Oliver, $2,400; W. R. Phillips. 
$2,400; I. Preston, $2,520; P. O. Ripley, $3,660; T. F. Ritchie, $3,660; G. Robertson^ 
$4,140; T. Stevenson, $4,020; P. E. Sylvestre, $3,180; A. G. Taylor, $2,700; A. G. O. 
Whiteside, $3,180. 
Wages of labourers and casual employees amounted to $176,911.20. 



DEPARTMENT OF AGRICULTURE 



37 



K Includes payments of $300 or over to the following: H. Aalund, $402.90; P. S. Browne, 
$368.17; D. B. Cann, $489.63; M. B. Davis, $331.71; F. Dimmock, $30659; Iv L. Eaton, 
S498.43; L. Faretad, SI. 079.33; A. 8. Fleming, $304.40; C. B. Gooderham, $598.36; G. A. 
Hills, $1,142.38; R. J. Hutchinson, $789.73; E. M. MacKey, $303.46; G. W. Muir, $675.95; 
L. H. Newman, $460.69; N. M. Parks. SI. 037 .95; N. R. Richards, $444.10; G. Robertson, 
$733.46; J. L. Roy, $478.53; T. M. Stevenson, $635.67; C. C. Strachan, $422.18; G. B. 
Whiteside, $523.61. 

Payment of $5,404.26 was made to the Maple Leaf Milling Co. Ltd., Ottawa. 

Vote 13 Branch Farms, Stations and Illustration Stations 1,300,886 00 

Expenditures 1,292,720 55 

Lapsed $ 8,165 45 



Estimates 

details 

A Salaries and Wages 1,013,973 00 

B Buildings and Lands 15,186 00 

C Equipment and Live Stock 39,012 00 

D Freight, Express and Cartage 10,239 00 

E Miscellaneous 15,095 00 

F Printing and Stationery 33,255 00 

G Rents 30,327 00 

H Supplies and Materials 67,045 00 

I Feed, Bedding and Veterinary Supplies 46,524 00 

J Telegrams, Telephones and Postage... 8,110 00 

K Travelling Expenses 22.120 00 



Allotments 

an! hori/ed 

987,708 75 

21,368 33 

59,176 78 

14,972 37 

17.628 20 

25,202 16 

24,821 27 

77,367 87 

37,076 15 

8,207 48 

27,356 64 



Expenditures 

987,708 75 

21,368 33 

59,176 78 

14,972 37 

17,628 20 

17,036 71 

24,821 27 

77,367 87 

37,076 15 

8,207 48 

27,356 64 



$ 1,300,886 00 $ 1,300 886 00 $1 ,292,720 55 



Comments on Expenditures 

The classification of expenditures by farms is as follows: Kentville, N.S., $61,880.83 
Nappan, N.S., $49,458.52; Charlottetown, P.E.I., $41,534.12; Summerside, P.E.I., $19,012.69 
Fredericton, N.B., $50,475.52; Ste. Anne de la Pocatiere, Que., $54,420.46; Lennoxville, Que. 
$43,261.98; L'Assomption, Que., $41,085.70; Normandin, Que., $26,106.96; Ste. Clothilde, Que. 
$8,802.75; Harrow and Delhi, Ont., $61,391.70; Kapuskasing, Ont., $47,115.34; Winnipeg 
Man., $25,814.70; Morden, Man., $53,569.21; Brandon, Man., $45,277.84; Saskatoon, Sask. 
$13,102.36; Indian Head and Regina, Sask., $51,995.57; Indian Head, Sask., Forest Nursery 
$28,953.21; Melfort, Sask., $24,327.26; Scott, Sask., $43,769.56; Sutherland, Sask., $19,941.92 
Swift Current, Sask., $56,659.10; Lethbridge, Alta., $56,004.26; Lacombe, Alta., $47,805.41 
Manyberries, Alta., and Kamloops, B.C., $20,287.90; Beaverlodge, Alta., $23,934.48; Summer 
land and Kelowna, B.C., $61,649.92; Agassiz, B.C., $44,352.53; Smithers, B.C., $10,140.88 
Saanichton, B.C., $30,382.08; Sub-stations, $6,107.44; Fort Vermilion, B.C., $6,296.83; Prince 
George, B.C., $27,658.88; Illustration Stations, $90,142.64. 

A As of March 31, 1942, there were 289 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date, or at date of separation (shown 
in brackets): W. D. Albright, $2,520; F. E. Atkinson, $2,820; C. F. Bailey, $3,420, and 
house valued at $420; W. W. Baird, $3,420, and house valued at S420; J. P. S. Ballantyne, 
S3. 120. and house valued at S360; J. A. Belzile, $2,820, and house valued at S360; J. D. Bel- 
zile. $2,700 (June 23, military leave); P. Beitrand. S2.400; R. D. L. Bligh, $2,640; 
R. Bordeleau, $3,480; W. J. Breakey, $2,460; D. A. Brown, $2,700; G. F. H. Buckley. 
S2.700; H. Chester, $2,400; J. A. Clark, S3.420. and house valued at S420; S. E. Clarke, 
S2.700; W. W. Cram. S2.400; J. G. Davidson, $2,520; G. E. Delong. $2,820; G. N. Denike 
S2.400; C. A. Edwards. S2.700; C. C. Eidt, S2.700; W. H. Fairfield, S4.140: W. M. Fleming, 
S2.580; J. L. Forsyth. $2,400 (Nov. 1); W. H. Gibson, $3,420. and house valued at $420; 
J. H. Girard. S2.400; E. T. Goring. S2.400; C. H. Goulden, S4.140; C. K. Gunn, $2,820; 
H. J. Hargrave. S2.940. and house valued at S360; R. J. Haslam, S2.S20; W T . D. Hay, $2,400; 
W. H. Hicks, $3,420, and house valued at S420; S. A. Hilton. S2.460; R. M. Hopper, 
S2.S20; F. V. Hutton. S3.300; A. Kelsall, S3.420. and house valued at $420; H. J. Kemp, 
$3,180; W. L. Kerr, $2,460; F. B. Kinsman, S2.700; A. Lawrence. $2,400; W. R. Leslie, 



38 AUDITOR GENERAL'S REPORT 

$3,420, and house valued at $420; J. M. F. MacKenzie, $2,400; A. J. Mann, $2,520; 
G. D. Matthews, $3,660; J. McLean. $3,300; M. J. McPhail, $2,940, and house valued at 
S360; J. E. Montreuil, $3,420, and house valued at $420; J. C. Moynan, $4,140; H. F. 
Murwin, $3,660; R. G. V. Newton, $3,480, and house valued at $360; A. E. Palmer, $2,760; 
R. C. Palmer, $3,660; J. R. Pelletier, $3,540; R. F. Peterson, $3,180; H. K. C. Rasmussen, 
$2,460; F. H. Reed, $3,660; W. S. Richardson, $2,520; N. M. Ross, $4,020 (Mar. 28); 
C. E. Ste. Marie, $3,180; J. U. A. Ste. Marie, $3,420, and house valued at $420; D. C. 
Schurman, $2,520; G. E. Smith, $3,120, and house valued at $360 (May 1); E. C. Stacey, 
S2,400; F. A. Stinson, $2,400; L. B. Thomson, $4,140; M. J. Tinline, $3,120, and house 
valued at $360; B. F. Tinney, $2,520; E. W. Tisdale, $2,700; E. Van Nice, $2,520; J. Walker, 
$3,300; J. N. Welsh, $3,180; W. J. White, $3,060; H. E. Wilson, $2,640; R. M. Wilson, 
$2,520; J. J. Woods, $2,820; L. C. Young, $2,400. 
Wages of labourers and casual employees amounted to $420,397.67. 
G Includes payments for the rental of 159 Illustration Stations, $18,933.10. 

K Includes payments of $300 or over to the following: O. Allard, $803.60; A. E. Barrett, 
SI. 083.98; N. F. Bell, $361.30; C. J. Bellefleur, $736.88; A. Belzile, $694.96; W. N. Black, 
$529.98; J. E. Britton, $451.30; D. A. Brown, $529.46; F. S. Browne, $445.40; R. Caron, 
$814.56; L. M. Casserly, $759.98; P. E. Cote, $645.98; A. Courcy, $312.80; C. C. Eidt, 
$529.25; F. X. Gosselin, $975.17; C. K. Gunn, $308.44; R. M. Hall, $1,197.61; W. M. 
Harding. $320.83; H. J. Hargrave, 451.81; F. B. Kinsman, $984.12; J. K. Knights, $368.31; 
W. R. Leslie, $348.17; J. C. Moynan, $545.39; H. F. Murwin, $411.80; R. G. Newton. 
$457.72; R. C. Parent, $1,095; J. R. Pelletier, $304.33; A. W. Piatt, $351.91; R. E. Silliphant, 
$308.83; F. A. Stinson, $385.07. 

Payments of $5,000 or over were made to the following: James D. Campbell Estate, Swift 
Current, Sask., $6,301.25; Imperial Oil Ltd., $10,656.50 

PRODUCTION SERVICE 

Vote 14 Production Service Administration 35,560 00 

Expenditures 34,209 26 

Lapsed $ 1,350 74 

Estimates Allotments 

details authorized Expenditures 

A Salaries 31,755 00 32,861 62 32,861 62 

B Miscellaneous 100 00 100 00 79 69 

C Supplies and Materials 100 00 100 00 43 64 

D Printing and Stationery 2,000 00 1,064 70 766 62 

E Telegrams, Telephones and Postage 605 00 605 00 97 06 

F Travelling Expenses 1,000 00 828 68 360 63 

$ 35,560 00 $ 35,560 00 $ 34,209 26 



Comments on Expenditures 

A As of March 31, 1942, there were 18 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date: L. A. Bissell, $3,360; R. S. Hamer, 
$6,300. 

F 'Includes payment to R. S. Hamer, $345.63. 

Vote 15 Administration of Animal Contagious Diseases Act and Meat 

and Canned Foods Act 1,652,495 00 

Expenditures 1,580,987 03 

Lapsed $ 71,507 97 



DEPARTMENT OF AGRICULTURE 39 

Estimates 
details 



A Salaries and Wages 1,293,525 00 

B Buildings and Lands 2,000 00 

C Equipment 14,420 00 

D Express, Freighl and Cartage 4,300 00 

E Miscellaneous 10,500 00 

F Professional Services, including Medical 

and Legal Fees 1,150 00 

C Printing and Stationery 28,000 00 

H Rents 6,500 00 

I Supplies 27,000 00 

J Telegrams, Telephones and) Postage 17,000 00 

K Travelling Expenses 248,100 00 



Allot menta 




authorized 


Expenditures 


1.293.525 00 


1,268,951 01 


2,000 00 


732 99 


14,420 00 


11,863 32 


4,300 00 


3,597 86 


14,000 00 


13,790 01 


1,150 00 


927 09 


28,000 00 


21,036 28 


6,500 00 


5,743 64 


32,000 00 


29,354 54 


18,000 00 


17,253 67 


238,600 00 


207,736 62 



$ 1,652,495 00 $ 1,652,495 00 $1,580,987 03 



Comments on Expenditures 

A As of March 31, 1942, there were 614 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date, or at date of separation (shown 
in brackets): W. G. Ambridge, $2,400; H. H. Anderson, $2,520; A. T. Andrew, S2.520 
A. J. Andries, $2,520; F. R. Armstrong, $2,820; J. H. O. Armstrong, $2,520; L. Bailey 
$2,520 (Jan. 6); M. Barker, $3,900; W. D. Baskette, $2,520; W. C. Batty, $2,400 
G. Beauchemin, $2,520; J. E. Beaudry, $2,640; N. G. Beaver, $2,520; R. E. Beggs, $2,640 
J. E. Bennett, $2,520; A. W. Bett. $2,520; T. P. Bett, $2,520; A. C. Blackwood, $2,760 
R. Blyth, $2,880; C. R. Boast, $2,520; R. D. Boast, $2,640; J. Bovaird, $2,640; R. J. Bower- 
man, $2,640; J. S. Bowie, $2,520; J. A. Boyer, $2,760; S. G. Bright, $2,760; C. Brind, S3.000 
(May 9); G. A. Brossard, $2,640; E. L. Brown, $2,520; G. N. Browne, $2,520; O. Brunet, 
$2,640; J. Buie, $2,640 (July 17); C. S. Cain, $2,520; H. L. Caldwell, $2,520; A. E. 
Cameron, $4,920; J. F. Campeau, $2,520 (Dec. 13); J. C. Carey, $2,640; M. L. Carey, 
$2,640; E. E. Carlson. $2,520; S. L. C. Catley, $2,520; R. B. Catt, $2,520; M. Chagnon, 
$2,520; R. G. Chapman, $2,520; P. Charest, $2,520; K. Chester, $2,520; T. Childs, $2,520; 
I. Christian, $2,880; X. D. Christie. $3,000; V. V. Christie, $2,880; G. M. Clark, $2,520; 
W. Clarkson, $2,520; R. Clegg. $2,520; H. Colebourn, $2,520; N. J. Coleman, $2,520; 
C. Coliton, $2,520; G. H. Collacutt, $2,520; E. R. Corbett, $2,880; T. J. Cornish, $2,520; 
J. N. L. Couture. $3,000; H. W. Cowan, $2,640; R. G. Cowie, $2,520; F. A. Daigneault, 
S2.520; J. G. Davidson, $2,520; W. B. Davidson, $2,520; S. A. Davison, $2,640; R. B. 
Dellert, $2,520; C. E. Derome. $2,760; H. L. Dixon, $2,520; W. J. Drennan, $2,520; D. E. 
Dufresne, $2,760 (June 29); J. B. A. Dufresne, $2,520; J. E. A. Duhamel, $2,520; R. C. 
Duthie, S2.520; G. A. Edge, S2.520; C. L. Edwards, $2,760; J. X. Ellah, S2.520; 
J. W. R. Fasken, $2,760; L. H. Ferris, $2,400; B. C. Flook, $2,520; H. L. Forbes, $2,520; 
O. A. Foster. $2,640; R. G. D. Fox, $2,520; A. S. Frame, $2,520; J. W. Frank, S2.640; 
C. H. J. Gauvin. $2,760; E. C. Gauvin, $2,880; J. W. H. Gear. $2,520; A. B. Gibson, 
$2,520; H. H. Gibson. S2.520; S. J. Gibson, $2,640; S. P. Giebelhaus. $2,520; J. L. Gleason, 
$2,520; A. Gowling, S2.400 (Jan. 2); E. Grandmaison, $2,880; D. Gruer, $2,520; O. Ball, 
$3,660; G. S. Hanmore, $2,580; J. C. Hargrave, $3,120 (Aug. 28); H. G. Hebert, $2,640; 
W. A. Henderson, $2,640 (Oct. 21) ; R. H. Henry. $2,520; S. A. Hill, $2,640; W. C. Hodgins, 
S2.520; W. J. Hoey. $2,400; J. D. Hogan, $2,520; A. W. Hopkins, $2,520; J. E. Horsland, 
$2,640; J. E. Houston. $2,520; W. L. Howden, $2,520; H. X. Howell, S2.520; J. T. M. 
Hughes, $2,520; H. T. Hyslop, $2,640; I. B. Irwin. $2,520; X. V. James. S2.520; G. S. 
Jermvn. S2.520 (Feb. 14); F. O. Jones. S2,520 ; R. Julien, S2.640; G. X. Jull. $2,520; 
N. N. R. Kee, S2,520; R. W. Kelly, $2,520; S. H. Kesten, S2.520; W. Kime, $3,000; 
G. T. Labelle, S2.520; J. A. Labelle, $2,640; J. E. Laberge, S2.520; L. Laberge. S2.640; 
J. O. Langevin. $3,240; S. X. D. Laroque. $2,520 (Dec. 5. noon); C. Latimer. $2,520; 
R. H. Lav. $3,240; J. A. Leadbeater. $2,880; J. E. Leblond. S2.760; F. Lefebvre, S2.520; 
J. H. G. Lefebvre. $2,520; E. G. Lemieux, $2,640; J. U. Lemieux. $2,520; F. J. Leslie, 
$2,280; M. I. Lowrie. $2,520; A. R. C. Lundie. S2.640; H. E. Macdonald, $2,580; J. G. 
MacDonald. S2.880; W. F. MacDougall. S2.520; J. S. Mack. $2,520; J. C. MaeLennan, 
S2.640; C. O. Maconachie. S3.660; H. H. MacPhee, $2,520; X. L. Mahaffy. $2,520; E. G. 
Mandley, S2.520; J. A. Marcil, $2,640; W. H. Marriott. $2,760; R. M. Mason, $2,640; 



40 AUDITOR GENERAL'S REPORT 

F. Mathews, $2,520; A. W. McCaskill, $2,520; J. C. McConnell, $2,520; H. G. McDonald 
S2.520; A. M. McFarlane. $2,520; S. C. McKee, $2,520; P. G. McKenzie, $2,580 
w'. H. McKenzie, $3,120 (Oct. 18); V. McLeish, $2,520; D. J. McLellan, $2,760 
J. A. McLellan, $2,520; J. U. V. Meilleur, $2,520; F. Midwinter-Steane, $2,520; R. J 
Milner, $2,640; A. R. Monroe, $2,520; K. R. Moore, $2,520; C. E. Morgan, $2,520 
A. P. Morris, $2,520; J. J. Morrow, $2,520; W. Moynihan, $3,240; H. W. Mustard, $2,880 
J. W. Naismith, $2,520; M. J. Neely, $2,520; J. E. Nesbitt, $2,520; G. A. Nichol, $2,400 
W. E. Nicholls, $2,520; E. S. Notting, $2,640; R. B. O'Brien, $2,520; R. R. Ormiston 
S2.520; A. E. Owers, $2,520; F. Parmiter, $2,760; P. J. Pascoe, $2,400 (Nov. 1, military 
leave); W. T. Patton, $2,400; G. R. Penhall, $2,520; M. B. Perdue, $2,520 (Oct. 26) 

G. G. Pook,' $2,640; P. Priestly, $2,760; J. W. Purdy, $2,880; R. Racicot, $2,520; C. E 
Reckin, $2,520; O. J. Reed, $2,520; C. H. Richardson, $2,640; R. H. Rivington, $2,520 

A. Robertson, $2,520; D. M. Robertson, $2,760; I. Robson, $2,400; G. A. Rose, $2,880 
W. A. Ross. $2,760; F. F. Saint, $2,520; E. Salisbury, $2,520; D. C. Scafe, $3,000; C. C 
Schilt, $2,520; W. Seymour, $2,760; J. S. Shepherdson, $2,520; J. H. Shonyo, $2,880 
P. E. Simard, $2,520; C. A. Skuce, $2,520; F. W. B. Smith, $2,880; J. W. Smith, $2,520 
O. A. K. Snyder, $2,520; E. Sorel, $2,520; W. Speirs, $2,520; H. Sproston, $2,640; J. A 
Stanford, $2,640; G. W. Starnaman, $2,640; C. M. Steen, $2,640; J. Steen, $2,880; W. W 
Stevens, $2,520; A. Stobart, $2,640; W. J. Stoneman, $2,520; H. C. Storey, $2,880; J. M 
Stuart, $2,760; W. F. R. Stubbs, $2,520; L. H. Swail, $2,520; A. C. Tanner, $2,760 
M. H. Taylor, $2,880; W. Tennant, $2,520; D. C. Tennent, $2,880; J. A. Theoret, $2,640 
J. H. Theoret, $2,640; E. B. Thomas, $2,760; K. H. Thompson, $2,520; W. G. Thomson 
$2,760; F. W. Towill, $2,400; J. L. Trudeau, $2,640; M. H. Trudel, $2,400; R. G. Tupling 
$2,520; W. J. Turnbull, $2,520; E. B. Ungar, $3,120; R. Waddy, $2,520 (Aug. 24); A. C 
Wagner, $2,520; S. L. Wall, $2,520; H. J. Watt, $2,520; A. J. Way, $2,520; J. Welch 
$2,520 (June 29); R. H. B. Wheatley, $2,520; A. A. White, $2,520; F. Wood, $2,880 
C. Young, $2,520; A. W. Younghusband, $2,520; H. M. Younghusband, $2,580. 

Wages of labourers and casual employees amounted to $29,804.71. 

C 20 new cars were purchased at a net cost of $11,419.34, after deducting $12,217.14, 
allowance on 18 trade-ins. 

K Includes payments of $300 or over to the following: J. O. Allan, $794.65; H. H. 
Anderson, $542.11; A. T. Andrew, $1,619.42; A. J. Andries, $1,037.27; J. H. O. Armstrong, 
S526.50; J. H. Ballantyne, $552.72; M. Barker, $335.20; W. D. Baskette, $933.72; G. 
Beauchemin, $1,491.44; J. E. Beaudry, $1,097.19; N. Beaver, $619.93; J. E. Bennett, 
S994.57; F. J. Berrigan, $1,008.96; A. W. Bett, $1,831.17; G. C. Bishop, $835.83; A. C. 
Blackwood, $1,075.14; R. Blyth, $662.12; C. R. Boast, $922.19; G. Bonin, $1,198.96; 
J. Bovaird, $641.57; J. A. Boyer, $422.68; E. Brassard, $2,180.92; L. Brault, $1,773.08; 
S. G. Bright, $402.16; G. A. Brossard, $1,301.34; E. L. Brown, $1,219.11; O. Brunet, 
$1,156.85; A. G. M. Bruyns, $2,106; F. W. Buckle, $442.21; P. J. Bullock, $704.66; R. L. 
Burns, $652.56; H. L. Caldwell, $1,235.69; A. E. Cameron, $426.07; M. L. Carey, $613.75; 
R. B. Catt, $1,567.51; M. Chagnon, $530.75; C. H. Chapman, $328.10; P. Charest, $1,620.21; 
K. Chester, $1,232.38; T. Childs, $1,719.34; N. D. Christie, $306.60; V. V. Christie, 
$1,045.59; W. Clarkson, $2,086.74; G. H. Collacutt, $1,285.75; T. J. Cornish, $1,695.88; 
J. N. L. Couture. $476.08; H. W. Cowan, $1,224.79; R. G, Cowie, $1,282.54; H. W. Craig, 
$569.33; W. T. dimming, $1,255.25; J. G. Davidson, $700.08; W. B. Davidson, $977.65; 

C. E. Derome, $465.41; H. L. Dixon, $1,446.91; W. J. Drennan, $668.40; A. Dufresne, 
$1,493.71; R. C. Duthie, $1,306.67; C. L. Edwards, $648.75; J. R. English, $1,192.56; 
J. F. Evans, $639.13; J. W. Fasken, $1,106.61; L. H. Ferris, $1,921.38; J. R. Fisher, $1,252.37; 

B. C. Flook, $935.73; H. L. Forbes, $787.09; L. Fortier, $313.20; R. G. Fox, $1,230.03; 
J. W. Frank, $885.01; J. R. Fulcher, $1,617.27; J. G. Gagnon, $1,860.28; H. Gauvin, 
$872.28; A. B. Gibson, $1,206.36; S. J. Gibson, $473.03; R. T. Gilbert, $1,362.19; S. L. 
Gilson, $1,674.31; J. L. Gleason, $968.41; E. W. Gray, $2,231.59; C. A. Gregoire, $973.59; 

D. Gruer, $910.43; W. T. Harrison, $327.22; E. N. Harrop, $1,825.25; S. J. Haslett, 
Sl.911.50; H. G. Hebert, $1,729.22; S. Herrick, $320.33; J. W. Higginson, $887.32; J. D. 
Hogan, $1,293.20; H. N. Howell, $665.74; R. Howlett, $468.75; F. W. Hughes, $1,291.70; 
P. Jacob, $1,898.14; N. V. James, $1,808.68; G. A. Jelly, $1,779.09; G. S. Jermyn, $592.34; 

E. Jobin, $1,714.24; J. Johnstone, $442.98; R. Julien, $1,820.65; J. M. Kaine, $569,73; 
N. R. Kee, $564.36; J. J. Kelly, $318.05; R. W. Kelly, $1,937.30; S. H. Kesten, $1,000.74; 
W. Kininmonth, $506.26; H. E. Knapp, $549.10; J. A. Labelle, $770.60; G. Laberge, 
SI .608.75; L. Laberge, $1,023.69; B. Labrosse, $1,627.78; J. O. Langevin, $754.96; B. LaSalle, 
$426.80; R. Laverdue. $332.35; R. H. Lay, $387.64; M. M. LeBlanc, $1,652.36; F. Lefebvre, 



DEPARTMENT OE AGRICULTURE 41 

$674.52; J. H. G. Lefebvre, S364.62; E. G. Lemieux, Sl,300.67; F. J. Leslie, 8943.71; 
H. Lord, S479.10; A. C. Lundic, $1,105.83; H. E. Macdonald, SS05.96; K. 8. MacDonald, 
$1,651.90; W. F, Macdougall, 81,530.51; N. L. Mahaffy, $1,483.10; E. G. Mandley, 8022.80; 
J. A. Marcil, $1,409.92; A. \V. McCaakill, 81,446.85; K. J. McClenaghan, $430.79; J. C. 

McConncll, SI, 175.78; W. A. S. McCrackcn, $1,882.08; H. G. McDonald, 8974.51; W. .1. 
McDonell, $532.23; A. M. McFarlane, 8936.34; P. G. McKrnzic, $540.67; A. McLean, 
$665.15; D. J. McLcllan, $367.92; V. Mcilleur, $1,460.09; F. Midwinter-Steane, 81.336.64; 
R. J. Milner, $1,145.55; W. F. Mitchell, $321.44; A. R. Monroe, $1,332.97; K. R. Moore. 
$1,710.83; L. Moore, $646.18; C. E. Morgan, $1,026.61; E. S. Mousseau, $531.46; \\ . 
Moynihan, $798.69; G. P. Mullen, $1,891.89; A. Murphy, $469.50; H. W. Mustard, $712.45; 
(i. E. Myers, $392.85; R. Nadeau, $1,124.56; J. E. Nesbitt, $925.90; E. 8. Notting, 
81.112.02; R. B. O'Brien, $1,517.40; R. Otis, $1,499.41; P. J. Pascoe, 8790.59; G. R. Penhall, 
$1,001.86; D. J. Perdue Sl.492.65; N. H. Peter, $1,043.47; G. E. Poirier, $708.80; G. Porlier, 
8510.05; G. Rankin, $484.79; F. O. Read, $427.50; C. E. Reckin, $1,093.71; J. A. Ricard, 
$1,664.33; A. E. Rice. $496.60; C. H. Richardson, $535.26; S. Riendeau, $1,154.04; R. II. 
Rivington, $1,418.12; G. Robert, $1,223.53; D. M. Robertson, $576.66; G. A. Roy, $1,833.91; 
F. Rushton, $711.66; F. F. Saint, S775.57; E. Salisbury, $1,459.46; A. L. Schaefer, $1,589.53; 
C. C. Schilt, $933.14; N. P. Schmidt, $364.85; W. J. Scott, $1,266.19; J. N. See, $1,320.09; 
F. H. Sharp, $1,099.09; J. S. Shepherdson, $705.26; J. H. Shonyo, $738.70; P. E. Simard. 
$1,085.11; R. I. Sinclair $640.84; H. V. Skelding, $1,992.76; C. A. Skuce, $784.86; F. W. B. 
Smith, $592.15; J. W. Smith, $1,247.87; E. Sorel, $1,189.14; W. Speirs, $432.76; T. H. 
Spence, $1,694.53; J. A. Stanford, $1,076.98; J. Steen, $503.63; A. Stobart, $809.07; W. J. 
Stoneman, Sl.245.29; H. C. Storey, $718.31; J. McL. Stuart, $763.56; W. F. R. Stubbs, 
$679.63; M. H. Taylor, $315.39; W. Tennant, $521.82; J. A. Theoret, $1,233.25; J. H. 
Theoret, S1.55S.06; E. B. Thomas, $1,410.76; D. W. Thompson, $442.07; K. H. Thompson, 
8654.42; W. R. Thompson, $808.22; F. W. Towill, $986.47; H. Troalen, $1,655.22; H. 
Trudel, $1,199.57; R. I. Twiss, $1,577.04; H. M. Underwood, $653.36; E. B. Ungar, 
$302.99; P. Villeneuve, $669.54; A. C. Wagner, $1,021.57; S. L. Wall, $1,134.75; H. J. 
Watt. S1.1S9.01; A. J. Way, $1,874.58; K. F. W'ells, $1,825.17; F. M. Wheatley. $1,125.44; 
A. A. White, $1,382.53; D. D. Wright, $310.62; J. H. Wrightman, $668.55; H. M. Young- 
husband, $1,539.31. 

Payments of $5,000 or over were made to the following: Canada Representatives Limited, 
Toronto, $5,465.92; Ketchum Manufacturing Co. Limited, $15,473.95. 

Vote 16 Compensation for animals slaughtered 530,000 00 

Expenditures 358,404 18 

Lapsed $ 171,595 82 



Comments on Expenditures 

Represents compensation to owners of cattle and other animals slaughtered in the 
control and eradication of contagious diseases, as provided in the Animal Contagious 
Diseases Act. The basis of compensation is two-thirds of the market value of the slaughtered 
animal as determined by a departmental inspector, but within certain limits stated in 
the Act. 

The expenditure was distributed among the provinces in the following amount-: Nova 
Scotia, S6.059; Prince Edward Island, S718; New Brunswick, S1.069; Quebec, $90,821.36; 
Ontario. S213.201.50; Manitoba, S39.765; Saskatchewan, $5,185; Alberta. S7S5.32; British 
Columbia, SS00. 

Vote 472 Payment of compensation to owners of animals affected with 
diseases coining under the operation of the Animal Con- 
tagious Diseases Act, which have died or have been 
slaughtered under circumstances unprovided for under the 
above Act and regulations thereunder, in the amounts 

detailed in the Estimates 297 31 

Expenditures $ 297 31 



42 



AUDITOR GENERAL'S REPORT 



Estimates 

details Expenditures 

Arrelle, Arthur, Coaticook, Que 26 66 26 66 

Belval. Antonio, St. Theodore, d'Acton, Que 18 66 18 66 

Bizier, Majoric, St. Methode, Que 30 00 30 00 

Dovon, Anisette, R. R. 4, Sherbrooke, Que 30 00 30 00 

Gagnon, Elisee, L'Avenir, Que 24 00 24 00 

Guillemette, Alberic, St. Valere de Bulstrode, Que 20 00 20 00 

Lachance, Napoleon, Victoriaville, Que 32 00 32 00 

Masson, Xorbert, St, Edwidge, Que 30 00 30 00 

Paradis, Alfred, R. R. 5, Magog, Que 26 66 26 66 

Crane. Cecil, R. R. 1, Wilsonville, Ont 22 00 22 00 

De Galley. Eucher, Routledge, Man 2 00 2 00 

Josephson Bros., Sinclair, Man 32 00 32 00 

S 297 31 $ 297 31 

Vote 17 Live Stock and Poultry 707,597 55 

Expenditures 679,521 39 

Lapsed $ 28,076 16 



Estimates 
details 

A Salaries and Wages 325,760 00 

B Buildings and Lands 1,000 00 

C Equipment 52,636 55 

D Freight, Express and Cartage 14,000 00 

E Miscellaneous 2,000 00 

F Printing and Stationery 16,500 00 

G Prizes, Bonuses and Premiums 154,678 00 

H Professional Services, including Legal Fees 500 00 

I Rents 1,871 00 

J Supplies and Materials 15,000 00 

K Telephones, Telegrams and Postage .... 7,000 00 

L Travelling Expenses 116,652 00 



Allotments 
authorized 

330.760 00 

3,200 00 

56,636 55 

10,907 12 

1,650 00 

20,142 88 

145,478 00 

500 00 

1,871 00 

15,000 00 

7,000 00 

114.452 00 



Expenditures 

328,668 77 

3,194 03 

54,520 25 

10,907 12 

917 22 

16,951 38 

137,728 33 

217 25 

1,709 00 

14,385 23 

5,527 23 

104,795 58 



$ 707,597 55 $ 707,597 55 $ 679,521 39 



Comments on Expenditures 

A As of March 31, 1942, there were 175 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date, or at date of separation (shown 
in brackets) : T. Bodnar, $2,520; S. Boily, $3,540; C. Bouchard, $2,520; J. G. Byers, $3,360 
A. H. O. Colbert, $2,400; J. H. Coles, $2,520; N. Curtis, $3,240; A. J. Darbey, $2,400 
W. D. Davies. $3,240; J. P. Fleury, $2,880; S. G. Freeborn, $2,760; J. W. Graham, $2,880 
W. L. Graham, $2,760; S. D. Irvine, $2,520; J. A. Kavanagh, $2,640; J. H. King, $2,520 
J. G. Lefebvre, $2,760; C. F. MacKenzie, $2,520; A. A. MacMillan, $3,660 (Jan. 4) 
A. P. MacVannel, $3,660; J. McCallum, $4,920; W. S. McMullen, $3,120; J. Norquay 
S2.880; A. W. Peterson, $4,140 (on loan to Wartime Prices and Trade Board from Jan. 1) 
E. F. Pineau, $2,520; H. Pintal, $2,520; F. G. Semple, $2,760; J. A. Steele, $2,520; J. A. 
Telfer, S2.520; C. S. Wood, $3,000 (May 26); R. W. Zavitz, $3,480. 

Wages of labourers and casual employees amounted to $7,570.87. 
C One new car was purchased for $956.50. 

Payments for bulls purchased under the Bull Loaning Policy amounted to $40,174. 

Payments for purchase of sows and expenses under the Brood Sow Policy amounted 
to $13,195.03. Receipts from sales amounted to $8,893.19. 

Payments amounting to $45,177.25 were made to The Canadian Fairbanks-Morse Co. 
Limited, for hog scales to be resold to producers of hogs, at cost, by authority of P.C. 1444, 
of Feb. 27, 1941. Expenses for freight, etc., amounted to $438.18. Proceeds from sales 
amounted to $45,180.69. 



DEPARTMENT OF AGRICULTURE 43 

D Expenses in connection with the purchase of hogs for British Guiana exceeded the 
advance received for this purpose by £240.74. This amount will appear in the revenue 
for L942-43. 

G Consists of the following groups of payments: — 

Horse Breeders 1 Clubs, S17.9S1.2S (Manitoba, $15,918.25; Saskatchewan, $23,099.32; 
Alberta, $8,963.71). The Department pays 75 rent- for every mare bred plus 25 per cent 
of tin 1 service cost on such mares as prove to be in foal plus $1 for each registered pun 
bred marc in foal. 

Grants to owners of Pure Bred Stallions, S57 ,300.90 (Nova Scotia, $1,665; Prince Edward 
Island, Sl.046.25; New Brunswick, $2,086; Quebec, $44,719.65; Ontario, S7.U0; British 
Columbia, $645). These grants, which an shared with the provinces on an equal basis 
(the Dominion Government's share being reduced by 25 per cent for 1941-42), are based 
on the class of stall ioD and the number of mares Lefl in foal. 

Grants to Horse Breeding Stations, $4,650. Proprietors of breeding stations must 
own or control three or more stallions. The basis of the grant is $187.50 per stallion. 

Premiums under Him Club Policy, $7,704. Under this policy ram clubs deposit with 
the Department stated amounts for rams. The Department purchases the animals and 
absorbs the differences in costs. Purchases amounted to $14,838, deposits, $7,134. 

Prize Money, $20,092.15 (shared jointly with the provinces) — Calf Feeding Competitions, 
$14,010.56; Group Feeding Competitions, $34; Bacon Litter Competitions, $571.84; Boys' 
and Girls' Swine Clubs, $2,350.90; Boys' and Girls' Lamb Clubs, $300.83; Sheep Fairs. 
SS18.25; Poultry Fairs. $746.27; Colt Shows, $112.50; Foal Clubs (Ontario), S302; Judging 
Competitions, $845. 

Many departmental live stock policies entail payments in the nature of grants to 
clubs, contributions to provinces and the absorption of losses in free or partially free 
distribution of live stock. All are made on ministerial authority by virtue of the item 
included in the vote and approved by Parliament for this class of assistance. 

L Includes payments of $300 or over to the following: W. A. Blackburn, $1,591.80; 
A. C. Blaikie, $442.30; A. L. Blenkhora, $1,385.78; T. Bodnar, $878.84; S. Boily, $1,366.71; 
C. Bouchard. $970.43; S. L. Boulanger, $1,021.04; W. Burdett, $1,265.98; A. C. Burt, 
81.023.77; J. Bvers. $2,438.03; A. E. Caron, $302.88; F. H. Ching, $1,552.13; A. H. O. 
Colbert, $965.77; J. H. Coles, $1,593.82; A. C. Craft, $1,429.35; N. Curtis, Sl.188.23; 
W. I). Davies, $1,721.48; A. Desrosiers, $1,296.24; J. P. Desy, $1,260.06; T. W. Drever, 
SI. 134.85; H. Dumaine. SI. 702.95; F. Eaton, S489.21 ; G. Egerton, $448.50; A. R. Elvidge, 
S367.46; J. H. Erb. $1,134.21; S. J. Ferns, $1,303.98; J. P. Fleury, $818.97; S. G. Freeborn, 
SI. 531. 08; B. F. Galbraith, SI. 322.63; G. Gamache, $343.97; J. H. Girard, SI. 658.42; 
A. Goguen, $1,513.08; J. A. Goode, $901.81; J. W. Graham. $1,199.60; C. M. Harvey. 
SI. 053.07; J. Harvic. Sl,078.i0; H. Hcon. SI. 288.35; S. D. Irvine, S859.35; V. Juneau. 
S 126.15; A. J. C. Kelleher, S548.69; F. King, S345.20; G. A. M. King, $322.05; J. H. King, 
S663.26; R. J. E. Laberge, $1,156.48; E. K. Laflamme, $1,461.84; J. G. Lefebvre, $910.49; 
L. D. Levesque. S321.85; F. J. MacCharles, Sl.053.38; W. B. MacDonald. $352.65; C. F. 
MacKenzie, S2,225.24; A. A. MacMillan, $1,418.67; A. P. MacVannel, S554.10; G. A. 
Marcoux, S1.2S3.85; J. M. McCallum, $653.68; J. H. McConnell. Sl.511.42; W. E. McKim. 
$1,094.65; Win. McMorrin, Sl.524.66; W. S. McMullen, $1,241.24; E. C. McMurtrie, 
SI. 776.21; E. G. Mitchell, $1,379.03; J. Murdoch, $1,052.73; I. B. Noble, $543.83; J. Norquay, 
$87451; A. W. Peterson, S598.90; J. A. Philibert, S333.96; E. F. Pineau, S1,771.6S; H. 
Pintal, $1,042.11; G. F. Purser, S361 ; H. D. Reid, Sl.549.70; L. W. Roper. $1,428; 
C. E. Roy. S301.95; G. K. Samis, 81.292.37; J. Sangster, S606.51 ; J. A. Semple. Sl.070.03; 
J. E. Sinnett, $524.41; J. B. Smith. SI. 089 .67; J. A. Steele, SI. 084.61; T. (i - 
Sl.255.67; G. A. Stratton. SI. 173.49; E. W. Stringam, $693.40; J. E. Stuart. $641.95; 
G. S. Tayler, $440.26; C. E. Taylor. $1,566.21; J. A. Telfer. S2.018.57; B. Tetreault, 
S529.66; R. H. Tomilson, S434.48; H. E. Upton, Sl,177.40; J. Verret, $351.55; G. C. 
Vincent, $960.91; A. G. M. Watson, $332.02; J. S. Westmoreland. $455.24; J. D. Williams. 
S704.S7; W. E. Wiltshire, S331.5S; R. W. Zavitz, S560.28. 

Payment of S7 .312.83 was made to Ketchum Manufacturing Co. Ltd. 

Audit Notes 

Salary was paid for the whole of the fiscal year to one employee whose employment was 
not authorized in accordance with the regulations. 

From the allotment G a cheque for $105 was issued in error to a person not entitled 
thereto and the amount has not been recovered. 



44 AUDITOR GENERAL'S REPORT 

Vote 18 Plant Protection 255,873 00 

Vote 416 Further amount required 8,500 00 

264,373 00 

Expenditures 257,308 17 







$ 7,064 83 




Allotments 




Estimates 




details 


authorized 


Expenditures 


198,875 00 


201,012 12 


201,000 97 


200 00 


200 00 




5,000 00 


6.262 88 


4,764 46 


735 00 


735 00 


418 80 


440 00 


440 00 


288 80 


8,000 00 


5,000 00 


4,166 79 


751 00 


751 00 


685 01 


4,045 00 


6,045 00 


3,863 21 


2,190 00 


2,290 00 


2,237 08 


44,137 00 


41,637 00 


39,883 05 


$ 264,373 00 


$ 264,373 00 


$ 257,308 17 



A Salaries and Wages 

B Building and Lands 

C Equipment 

D Express, Freight, Cartage 

E Miscellaneous 

F Printing and Stationery 

G Rents and Taxes 

H Supplies and Materials 

I Telephones, Telegrams and Postage . 

J Travelling Expenses 



Comments on Expenditures 

A As of March 31, 1942, there were 105 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date: W. A. Fowler, $2,880; W. N. 
Keenan, $3,240; L. S. McLaine, $4,500; H. A. V. Monro, $2,520; H. F. Olds, $2,880; 
S. G. Peppin, $2,520; W. St. G. Ryan, $2,880; R. W. Sheppard, $2,520; J. Tucker, $3,000; 
P. N. Vroom, $2,520. 
Wages of labourers and casual employees amounted to $3,519.91. 

C One new truck and one new car were purchased at a cost of $2,540.63. 

J Includes payments of $300 or over to the following : B. Baribeau, $778.32; P. J. G. Baribeau, 
$954.80; N. Beaudoin, $404.88; E. R. Bewell, $695.92; W. Briggs, $396.03; A. Charlebois, 
$443.67; C. Copeland, $672.13; H. A. Cox, $702.33; W. A. Gumming, $614.18; G. C. 
Cunningham, $379.18; J. G. Ethier, $841.93; A. Finnamore, $357.35; W. A. Fowler, $359.28; 
C. H. Godwin, $683.64; F. W. Gregory, $356.77; R. E. Helmer, $348.52; F. J. Hudson, 
$586.18; J. N. Hume, $350.67; M. L. Jardine, $374.66; W. L. Kemp, $687.62; 0. W. Lachaine, 
$955.02; W. R. Lapp, $467.23; R. C. Layton, $434; L. P. Lebrun, $742.16; E. R. W. 
Longmoore, $584.35; R. S. MacGregor, $336.26; H. S. MacLeod, $307.50; J. W. Marritt, 
$765.61; A. E. McCollom, $508.26; W. K. McCulloch, $325.65; W. McCullough, $792.68; 
L. S. McLaine, $860.13; H. L. McLaren, $365.70; J. D. Michaud, $330.31; D. L. Moore, 
$507.77; H. F. Olds, $690.94; S. G. Peppin, $527.49; D. J. Petty, $545.24; L. L. Reed, 
$993.85; C. Rivard, $875.59; C. E. Robison, $327.83; W. G. Ross, $340.55; W. St. G. Ryan, 
$827.36; J. W. Scannell, $424.86; R. W. Sheppard, $344.43; D. Tanguay, $427.76; D. W. 
Thome, $323.62; W. D. Touzeau, $703.53; J. Tucker, $468.94; F. B. Warnock, $410.03; 
H. W. Whiteside, $946.48; C. E. Wry, $823.14. 

Vote 19 Plant Products — Seeds, Feeds, Fertilizers, Insecticides and 
Fungicides Control, including grant of $18,900 to Canadian 
Seed Growers 11 Association 521,642 00 

Expenditures 495,129 41 

Lapsed $ 26,512 59 



DEPARTMENT OE AGRICULTURE 



45 



A Salaries 

B Equipment 

C Express, Freight and Cartage 

D Grant to the Canadian Seed Growers 

Association 

E Miscellaneous 

F Printing and Stationery 

G Professional Services, including Analysts' 

Fees and Legal Services 

H Rents 

I Subsidies 

J Supplies and Materials 

K Telephones, Telegrams and Postage 

L Travelling Expenses 



Est im.it 


Allotments 




details 


authorized 


Expenditures 


383,030 00 


379,830 00 


377.674 49 


13,067 00 


13,067 00 


9351 38 


1,800 00 


2,007 66 


2,007 66 


18,900 00 


18,900 00 


18,900 00 


5,040 00 


5.032 34 


3.799 01 


14,000 00 


14,000 00 


10.206 02 


16,960 00 


11,780 00 


6.460 51 


735 00 


915 00 


915 00 


6,740 00 


6,740 00 


4.704 75 


5,166 00 


5,166 00 


4,542 03 


6,500 00 


6,500 00 


6,482 93 


49,704 00 


57,704 00 


49,585 63 


% 521,642 00 


S 521,642 00 


S 495.129 41 



Comments on Expenditures 

A As of March 31, 1942, there were 229 employees paid from this vote. The following worn 
receiving annual salaries of $2,400 or over on that date: L. Bell, $2,520; L. W. Black, $2,400; 
J. E. Blakeman, $3,240; E. W. Brett, $2,520; T. W. L. Burke, $3,240; J. G. Clarke, $2,880; 
J. A. Dawson, $2,880; G. A. Elliott, $3,180; B. F. Forward, $3,120; F. E. Foulds, $3,240; 
T.'D. C. Hamilton, $2,760; A. C. Heise, $2,880; A. Hope, $2,880; W. J. W. Lennox, $3,240; 
N. G. Lewis, $2,880; J. W. MacKay, $3,240; C. V. Marshall, $2,700; C. S. McCullough, 
$2,520; G. W. Michael. $2,520; J. C. Noble, $2,880; P. M. Overholt, $2,760; G. S. Peart, 
$3,900; J. A. Pepin, $2,880; E. Poisson, $2,520; A. Potvin, $2,700; R. H. Sibbitt, $2,520; 
J. Simard, $3,240; G. M. Stewart, $3,240; C. Sweet, $3,480; C. T. Tapp, $2,880; C. A. Weir, 
$2,520; S. White, $2,520; W. R. White, $3,660; W. H. Wright, $4,140; N. Young, $4,920. 

B 7 new cars were purchased at a net cost of $5,034.27, after deducting $2,649 allowance 
on 4 trade-ins. 

L Includes payments of $300 or over to the following: A. Bartlett, $411.19; A. Bayer, 
$725.30; L. Bell, $920.86; L. W. Black, $1,183.74; J. E. Blakeman, $469.75; S. A. Bowman, 
$788.43; E. W. Brett, $767.31; R. Broadfoot, $747.88; A. N. L. Butler, $S19.45; A. M. W. 
Carter, $644.59; J. G. Clark, $449.14; T. H. Coltard, $801.28; O. Crepeau, $1,124.38; 
A. Dumais, $866.39; J. B. Ferland, $1,280.76; F. E. Foulds, $616.64; A. G. Gilbert. $1,050.07; 
G. B. Gilmour, $1,231.90; L. B. Goodall. $481.53; G. M. Gray, $806.38; D. O. Hedlin, S503.01; 
K. R. Hillier, $474.58; A. Hope, $316.80; R. Hurtubise, $594.84; E. C. Jones, $502.09; 
E. Lafresniere, $1,079.12; A. A. Langlais, $1,138.32; E. Lavoie, $920.70; C. W. Leggatt, 
$513.71; W. J. W. Lennox, $326.58; J. W. MacKay, $858.15; N. D. MacKenzie, S650.62; 
G. MacMillan, $690.33; B. C. McLean, $547.34; J. G. McPharlin, $467.15; A. McPhereon, 
S995.18; G. W. Michael, $693.10; T. D. Moor, $871.28; G. P. O'Keefe, $467.80; C. L. S. 
Palmer, $782.94; G. S. Peart, $509.97; A. H. Phillips, $875.15; E. J. Quail, $848.57; 
L. L. Robertson, $876.82; G. H. Robinson, S698.23; R. T. F. Ross, $763.79; W. G. Sallans, 
$713.72; A. Seguin, $1,044.26; J. Simard, $1,192.66; A. A. Smith. $1,200.34; D. Stewart. 
SS20.21; G. M. Stewart, $563.42; G. R. Stretton, $389.05; J. K. Swann. $1,102.48; C. Swet t, 
$532.S1; R. L. Thomas, S956.15; C. A. Weir, $554.27; S. White, $747.36; W. H. Wright, 
$507.57; N. Young, $742.96. 

Audit Note 

A duplicate payment of $10, from allotment I, has not been recovered. 



Vote 20 Grants to Fairs and Exhibitions, in the amounts detailed in the 

Estimates 65,000 00 

Expenditures $ 65,000 00 



46 



AUDITOR GENERAL'S REPORT 



Building Grants 

A Maritime Winter Fair, Amherst, N.S 

B Provincial Exhibition of Quebec, Quebec, P.Q. 

C Royal Agricultural Winter Fair, Toronto, Ont. 

D Vancouver Exhibition, Vancouver, B.C 



Estimates 
details 

5,000 00 
15,000 00 
35,000 00 
10,000 00 



Expenditures 

5,000 00 
15,000 00 
35,000 00 
10,000 00 



$ 65,000 00 $ 65,000 00 



Comments on Expenditures 

A B D Each represents the third of ten annual instalments payable in accordance with 

agreements approved by the Governor in Council. 
C Represents the fifteenth of twenty annual instalments authorized by The Royal 

Agricultural Winter Fair Association Act c. 9, 1927. 

Vote 21 Grants to Agricultural organizations, in the amounts detailed 

in the Estimates 35,500 00 

Expenditures $ 35,500 00 

Estimates 

details Expenditures 

Canadian Council on Boys' and Girls' Club Work 5,000 00 5.000 00 

Advanced Registry Board for Dairy Bulls 4.500 00 4,500 00 

Canadian National Live Stock Records 18,000 00 18,000 00 

Advanced Registry Board for Swine 8,000 00 8,000 00 



S 35,500 00 $ 35,500 00 



Comments on Expenditures 

These amounts were released for payment by Treasury Board Minute T. 210135 B. of July 
25, 1941. 

MARKETING SERVICE 

Vote 22 — Marketing Service Administration 95,252 00 

Expenditures 81,930 62 

Lapsed $ 13,321 38 

Estimates Allotments 

details authorized Expenditures 

A Salaries 71,515 00 71,515 00 69,677 80 

B Equipment 1,000 00 1,000 00 

C Living Allowances 2,500 00 2,500 00 

D Miscellaneous 1,990 00 490 00 282 95 

E Printing and Stationery 3.250 00 5,750 00 5,235 82 

F Supplies and Materials 1,600 00 600 00 48149 

G Telephones, Telegrams and Postage 2,947 00 2,947 00 389 45 

H Travelling Expenses 10,450 00 10,450 00 5,863 11 



$ 95,252 00 



$ 95,252 00 $ 81,930 62 



Comments on Expenditures 

A As of March 31, 1942, there were 40 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date, or at date of separation (shown 
in brackets): A. M. Shaw, Director, $8,500; W. Allen, $5,760 (May 1); P. A. Cossman, 
$2,760; E. Elliott, $2,520; R. W. Neely, $3,480; C. V. Parker, $3,180, secretarial allowance, 
$480 (charged to Vote 1) ; L. C. Pepper, $3,180; A. W. Ryan, $2,760; R. M. Scott, $4,140. 

C A living allowance is provided for the Agricultural Commissioner when in England; as he 
did not visit England during the year no allowance was paid. 



DEPARTMENT OF AGRICULTURE 



47 



H Includes payments of $300 or over to the following: M. W. Cameron, 1553.03; E Elliot, 
$39751; B. LeBlanc, $1,777.79; L. C. Pepper, $944.68; H. M. Scott, $719 11; A. M Shaw, 
$334.67. 
This allotment also includes a payment of $500 to the widow of the Agricultural 

Commissioner to assist in the shipment of household effects from England to Canada, 
approved by T.208977 B. dated June 26, 1941. 

Vote 23 Agricultural Economics 97,245 00 

Expenditures 89,371 67 

Lapsed $ 7,873 33 

Estimates Allotment-- 

details authorized Expenditures 

A Salaries 73,065 00 72,065 00 66,917 36 

B Equipment 3,140 00 3,140 00 2,925 30 

C Miscellaneous 650 00 650 00 632 75 

D Printing and Stationery 7,750 00 8,750 00 7.828 80 

E Telephones. Telegrams and Postage 450 00 450 00 447 51 

F Travelling Expenses 12,190 00 12,190 00 10,619 95 



$ 97,245 00 $ 97,245 00 $ 89,371 67 



Comments on Expenditures 

A As of March 31, 1942, there were 34 employees paid from this vote. The following 

were receiving annual salaries of $2,400 or over on that date, or at date of separation 

(shown in brackets): J. F. Booth, $5,220; W. F. Chown, $3,180 (Feb. 1); J. Coke, S4,140; 

C. M. Goddard, $2,520 (May 25); A. Gosselin, $3,660; H. R. Hare, $3,180; W. C. Hopper, 

$4,620; S. C. Hudson, $2,700 (Oct. 9 noon, military leave); A. E. Richards, $3,660; 

C. C. Spence, $2,700. 
F Includes payments of $300 or over to the following: J. F. Booth, $798.64; B. A. Campbell, 

$306.30; J. Coke, S529.34; L. Fortin, $751.30; H. R. Hare, $510.75; W. C. Hopper, $525.18; 

H. L. Patterson, $666.80; E. P. Reid, $801.25; A. E. Richards, $428.78; C. C. Spence, $856.97; 

H. W. Trevor, $1,196.85; A. H. Turner, $959.22. 

Travelling expenses in connection with the apple survey and research work in the 

Okanagan Valley of British Columbia amounted to $1,286.33. The Provincial Government 

contributed $1,000 to the cost of these operations. 

Vote 24 Dairy Products 357.082 00 

Vote 417 Further Amount Required 1,636 00 

358.718 00 
Expenditures 357,961 16 

Lapsed $ 756 84 

Estimates Allotments 

details authorized Expenditures 

A Salaries and Wages 276,334 00 276,376 97 276.376 97 

B Equipment 750 00 2,850 00 2,742 22 

C Express, Freight, Cartage and Refrigerator 

Car Service 7,536 00 7,536 00 7,450 64 

D Living Allowances 1.800 00 1,800 00 1.703 24 

E Materials and Supplies 3.000 00 2.779 94 2,732 34 

F Miscellaneous 1,500 00 1.500 00 1.270 01 

G Press Clippings 300 00 150 00 93 35 

II Printing and Stationery 10.000 00 8.460 74 8,460 74 

I Lawyers' and Analysts' Fees 3.700 00 1,026 00 1.026 00 

J Rents 3,010 00 2,590 50 2,572 61 

K Telephones, Telegrams and Postage 4,025 00 5,725 00 5.610 19 

L Travelling Expenses 46,763 00 47,922 85 17,922 85 

$ 358,718 00 S 35S.71S 00 S 357,961 16 



48 AUDITOR GENERAL'S REPORT 

Comments on Expenditures 

A As of March 31, 1942, there were 129 employees paid from this vote. The following 
were receiving annual salaries of $2,400 or over on that date, or at date of separation 
(shown in brackets): J. Adair, $2,520; H. S. Anderson, $2,760; G. L. Art, $2,580; G. Bain, 
S2.640; D. M. Beattie, $2,760; W. J. Beckett, $2,880; G. A. Bourbeau, $2,760; J. 
Bourbonnais, $2,580; W. E. Brennan, $2,580; S. P. Broby, $2,760; J. Burgess, $4,140; 
W. C. Cameron. $3,660; R. J. Carleton, $2,760; H. J. Crowe, $2,880; J. O. Danis, $2,880 
(Oct. 11); W. J. Davies, $2,640; H. A. Derby, $3,480; D. B. Goodwillie, $2,700; R. O. 
Hebert, $2,760; J. H. Henderson, $2,880; T. J. Hicks, $3,240; S. R. Howe, $2,640; J. L. Irwin, 
$2,760; E. Johnson, $2,400; J. Lefebvre, $2,760; J. T. Lemay, $2,580; E. W. Light, $2,760; 
K. G. MacKay, $3,240; R. M. MacLennan, $2,760; J. U. Maher, $2,880; H. A. Mason, 
S2.760; J. A. McManus, $2,880; D. Menzies, $2,760; F. Monaghan, $2,760; E. Quesnel, 
$2,580; J. F. Singleton, $5,220; R. P. Spencer, $2,520; G. Thimens, $2,760; H. M. Ward, 
$2,760; O. H. J. White, $2,760; L. H. Woodiwiss, $2,400. 
Wages of labourers and casual employees amounted to $10,447.25. 

C Includes payments for refrigerator car service covering icing charges on carlot shipments 
of butter, cheese and eggs from points in Prince Edward Island, Quebec and Ontario to 
Halifax, Quebec and Montreal and a guaranteed minimum rate on less than carload 
shipments of butter and eggs from points in the Gaspe Peninsula to Quebec and Montreal. 
Payments are made on ministerial authority. 

D Consists of payments of living allowance to cargo inspectors while away from head- 
quarters. 

L Includes payments of $300 or over to the following: J. Adair, $364.27; H. S. Anderson, 
$735.37; G. Bain, $1,234.44; D. M. Beattie, $1,456.88; W. J. Beckett, $349.49; E. K. 
Bonnyman, $612.10; A. Boulais, $1,268.16; G. A. Bourbeau, $3,318.22; J. Bourbonnais, 
$647.44; W. E. Brennan, $948.22; J. R. Burgess, $874.79; A. Bussieres, $440.54; W. C. 
Cameron, $984.88; R. J. Carleton, $385.28; J. E. Coxford, $1,007.70; W. J. Davies, $1,254.63; 
A. Demers, $463.35; H. Desfosses, $653.22; J. E. Dougall, $1,076.56; C. P. Eutenier, $443.23; 
M. Germain, $1,575.74; D. B. Goodwillie, $1,305.88; J. Z. Gosselin, $751.86; T. J. Hicks, 
$933.80; S. R. Howe, $955.41; J. L. Irwin, $722.57; C. R. Kennedy, $1,225.85; R. Kerouack, 
$1,090.96; L. Kirkland, $1,075; E. E. LeBlanc, $943.50; L. J. Levenick, $883.28; E. W. Light, 
$507.59; W. Macdonald, $598.92; K. G. MacKay, $903.54; J. A. McManus, $379.31; E. B. 
MacRobie, $1,383.08; J. U. Maher, $890.38; H. A. Mason, $559.20; S. Menard, $1,006.80; 
C. A. Morrison, $606.17; G. W. Parker, $1,202.05; R. J. Quinn, $1,289.47; J. F. Robinson, 
$651.17; W. F. Rogerson, $817.72; G. A. Schroer, $957.78; N. J. Strynadka, $1,157.85. 

Vote 25 Subsidies for Cold Storage Warehouses under the Cold Storage 

Act, and Grants 114,864 64 

Vote 473 Further amount required 12,332 48 

127,197 12 
Expenditures 44,142 66 

Lapsed $ 83,054 46 



Subsidies 

Central Creameries Ltd., Charlottetown, P.E.I. 

Champion Brothers, Kensington, P.E.I 

Naramata Co-operative Growers Association, 

Naramata, B.C 

Haynes Co-operative Growers Association, 

Oliver, B.C 

Oliver Co-operative Association, Oliver, B.C. 
Pyramid Co-operative Association, Penticton, 

B.C 300 00 300 00 300 00 

Summerland Co-operative Growers Association, 

Summerland, B.C 219 51 219 51 219 51 

Elgin Growers Co-operative, St. Thomas, 

Ont 58 61 58 61 58 61 



Estimates 
details 


Allotments 
authorized 


Expenditures 


920 11 
240 00 


920 11 
240 00 


920 11 
240 00 


721 54 


721 54 


721 54 


258 28 
889 45 


258 28 
889 45 


258 28 
889 45 



DEPARTMENT OF AGRICULTURE 49 



Estimates 
Subsidies detail- 

Oxford Fruit Co-operative Ltd., Woodstock, 

Ont 314 00 

Creston Co-operative Fruit Exchange, 

Creston, B.C 595 70 

Okanagan Valley Land Co., Okanagan Centre, 

B.C 406 02 

Moncton Cold and General Storage Ltd., 

Moncton, N.B 1,916 84 

Kent Fruit Growers Co-operative, Ltd., Blen- 
heim, Ont 1,008 00 

Trenton Cold Storage Ltd., Trenton, Ont... 10,790 92 

Crown Fruit Company, Kelowna, B.C 337 51 

Keremeos Growers Co-operative Association, 

Keremeos, B.C 3,150 00 

Osoyoos Co-operative Fruit and Vegetable 

Growers, Osoyoos, B.C 932 00 

Kelowna Growers Exchange, Rutland, B.C... 4,239 93 

Salmon Arm Farmers Exchange, Salmon Arm, 

B.C 1,306 74 

Turner, R. & Sons, Salmon Arm, B.C 589 03 

Summerland Co-operative Growers Association, 

Summerland, B.C 1,040 00 

Vancouver Ice and Cold Storage, Vancouver, 

B.C 4,000 00 

Howe Orchards Ltd., Vernon, B.C 631 12 

B.C. Fruit Shippers Ltd., West Summerland, 

B.C 1,040 00 

Moncton Cold and General Storage Ltd., 

Moncton. N.B 3,175 90 

Aldershot Distributing Co-operative Co. 

Ltd., Aldershot, Ont 1,385 49 

New" Brunswick Apple Exchange, Frederic- 
ton, N.B 2,860 13 

Utilities Publiqucs Provinciales, Chicoutimi, 

Que 2,275 00 

Winnipeg Cold Storage Co., Ltd., Winnipeg, 

Man 56,082 68 

Trenton Cold Storage Ltd., Trenton, Ont. . . 12,332 48 

114,016 99 
Grants 
Manitoba Cold Storage Co. Ltd., Winnipeg, 

Man 12,059 74 

Temiskaming Producers Co-operative, New 

Liskeard, Ont 140 00 

Kingston Cold Storage, Kingston, Ont 980 39 



Allotment- 
authorised 


Expenditure i 


314 00 


314 00 


595 70 


508 To 


406 02 


406 02 


1,916 84 


1,916 84 


1,008 00 

10.790 92 

337 51 


1,008 00 
337 51 


3,150 00 


3.090 50 


932 00 
4,239 93 


932 00 
2,422 82 


1.306 74 
589 03 


1,306 74 
589 03 


1,040 00 


1,040 00 


4,000 00 
631 12 


4,000 00 
631 12 


1,040 00 


1,040 00 


3,175 90 


3,117 38 


1,385 49 


1,3S5 49 


2,860 13 


972 84 


2,275 00 


2,249 04 


56,082 68 
12,332 48 




114,016 99 


30,962 53 


12,059 74 


12,059 74 


140 00 
980 39 


140 00 

980 39 



$ 127,197 12 $ 127,197 12 S 44,142 66 



Comments on Expenditures 

Subsidies for cold storages are paid on the following basis: — 

(a) On completion of building 15 per cent of the amount expended in construction, 

refrigeration, etc.; 
(6) At the end of the first year thereafter 7 per cent of the said amount; 
(c) At the end of the second year thereafter 4 per cent of the said amount ; 
(g0 At the end of each of the two next succeeding years 2 per cent of the said amount. 

Outstanding commitments for payments yet to be made for cold storages, on which 
initial or subsequent payments have been made, amount to $28,972.52. 



50 AUDITOR GENERAL'S REPORT 

The following subsidies were not paid for reasons stated herein : — 
Trenton Cold Storage Ltd., Trenton, Ont. — $23,123.40 — Construction not completed — amount 

re-voted in 1942-43. 
"Winnipeg Cold Storage Co. Ltd., Winnipeg, Man. — $56,082.68 — Construction not completed — 

amount re-voted in 1942-43. 

Grants to the Manitoba Cold Storage Co. Ltd., Winnipeg, Man., $12,059.74, the Temiska- 
ming Producers Co-operative, New Liskeard, Ont., $140, and the Kingston Cold Storage, 
Kingston, Ont., $980.39, cover instalments in the same manner as subsidies are paid. These 
companies did not conform at the outset with the provisions of the Cold Storage Act, there- 
fore payment by way of grant was authorized by the Appropriation Act. 

Vote 26 Fruit, Vegetable and Maple Products and Honey, including 

grant of $5,000 to Canadian Horticultural Council 527,110 00 

Expenditures 525,362 95 



Lapsed $ 1,747 05 



A Salaries 

B Equipment 

C Express and Freight 

D Grant to the Canadian Horticultural 

Council 

E Miscellaneous 

F Printing and Stationery 

G Professional Services 

H Rents 

I Supplies and Materials 

J Telephones, Telegrams and Postage .... 

K Travelling Expenses 



Estimates 


Allotments 




details 


authorized 


Expenditures 


399,645 00 


424,842 45 


424,842 45 


14,000 00 


5,409 02 


5,403 18 


1,800 00 


1,268 39 


1,251 81 


5,000 00 


5,000 00 


5,000 00 


2,088 00 


1,286 47 


1,243 52 


20,000 00 


17,805 95 


17,805 95 


500 00 


798 70 


798 70 


777 00 


777 00 


772 50 


1,500 00 


556 04 


522 88 


8,800 00 


8,800 00 


8,495 97 


73,000 00 


60.565 98 


59,225 99 



$ 527,110 00 $ 527,110 00 $ 525,362 95 



Comments on Expenditures 

A As of March 31, 1942, there were 154 employees paid from this vote. In addition 199 
seasonal employees were engaged during the year. The following were receiving annual 
salaries of $2,400 or over on that date, or at date of separation (shown in brackets) 
F. R. Armstrong, $2,520; C. Brooks, $2,520; W. R. Butland, $2,760; W. J. Coell, $2,520 
K. B. Conger, $4,140; C. M. Craig, $2,520; W. T. Fleet, $2,520; C. W. Jackson, $2,520 
F. E. Loveday, $3,660; S. B. Marshall, $3,000; W. B. H. Marshall, $3,000; J. McNiven 
$2,520; E. G. Paige, $3,000; F. J. Perry, $3,000; H. H. Ponton, $3,000; W. Read, $2,520 
K. B. Robinson, $2,400; R. E. Robinson, $4,140 (on loan to Department of Munitions and 
Supply from Oct. 13); H. Scott, $2,520; C. E. Shaw, $2,520; C. T. Skinner, $2,760; 
F. H. Steele, $3,000 (Jan. 9) ; C. T. Stevenson, $2,520; R. L. Wheeler, $4,920; B. M. Whyte, 
83,000; E. H. Young, $2,520. 

B Represents the net cost of 9 cars after deducting $5,046 allowance on 8 trade-ins. 

K Includes payments of $300 or over to the following: E. N. T. Arthur, $495.11; J. J. Benn, 
$463.51; D. J. Beveridge, $556.42; J. A. Brand, $452.02; F. A. Brydon, $396.16; W. R. 
Butland, $787.96; F. C. Chappell, $785.47; P. W. Clement, $581.61; W. J. Coell, $349.22; 
.W. Corp, $340.08; G. L. Cox, $519.80; C. M. Craig, $306.15; J. H. Dawe, $380.30; J. G. de 
Jong, $648.60; J. R. Dill, $789.83; C. E. Dionne, $376.37; I. W. Douglas, $457.57; D. H. 
Firth, $502.99; W. T. Fleet, $612.98; P. L. Ford, $876.10; W. J. Furminger, $451.91; 
W. F. Graham, $721.39; J. Grant, $403.05; F. W. Gray, $995.84; C. W. Jackson, $394.16; 
N. C. James, $342.77; J. J. Johnson, $804.41; W. H. Knight, $345.70; A. W. Longley, 
$565.07; H. G. Longley, $345.70; R. Lounsbury, $472.51; S. McFarlane, $533.64; J. A. 
McNiven, $927.92; H. Marshall, $652.05; S. B. Marshall, $1,060.76; O. L. May, $808.16; 
W. H. Mizener, $695.65; A. W. Murray, $402.28; R. B. Neily, $624.43; J. C. Paradis, 
S595.15; F. J. Perry, $436.47; H. H. Ponton, $734.11; W. Read, $409.20; B. Roberts, 



DEPARTMENT OF AGRICULTURE 51 

S6S3.65; R. E. Robinson, 18464)5; C. J. Rose, 1746.42; II. I). Sarsfield, 1322.92; II. Scott, 
SC.12.S0; A. M. Shaw, $615.77; C. E. Shaw, $490.94; II. W. Smith, $1,026j68; II. M - 
$332.26; C. E. Spicrr, S373.38; L. V. Spinney, $353.43; B. W. Stanley, $644.42; W. T.Stanley, 
$355.79; C. T. Stevenson, $809.01; W. V. Strong, $556.75; J. Tofani, $623j66; I V VaD de 
Water, SS53.20; R. H. Waddle, S430.73; E. A. Walton, $91439; C. \. W< 156.17; 

R. L. Wheeler, $1,257.66; B. M. Whyte, si, 114.30; H. G. Woodworth, $459j64. 

Audit Note 

One employee was overpaid salary amounting to $71.89 which was not recovered, 
according to the records of the Central Pay Office. 

Vote 27 Live Stock and Live Stock Products 519,037 00 

Vote 418 Further amount required 17,729 00 

536,766 00 
Expenditures 530,592 45 



Lapsed $ 6,173 55 



A Salaries 

B Equipment 

C Express, Freight and Cartage 

D Living Allowances 

E Miscellaneous 

F Printing and Stationery 

G Professional Services, including Legal 

Services 

H Rents 

I Supplies and Materials 

J Telephones, Telegrams and Postage 

K Travelling Expenses 



Estimates 


Allotment 9 




details 


authorized 


Expenditures 


378.287 00 


384,101 09 


384,069 48 


3,300 00 


3,569 21 


3,549 53 


2,325 00 


1,725 00 


1 ,555 73 


1,200 00 


1,200 00 


1.035 96 


2.535 00 


2,865 79 


2^61 20 


17.120 00 


12,029 31 


12,029 31 


1,000 00 


1.000 00 


25 60 


7,411 00 


7,411 00 


6,524 20 


3,700 00 


2,700 00 


2,489 24 


15,800 00 


18,000 00 


17.560 59 


104,088 00 


102,164 60 


98.891 61 



$ 536,766 00 $ 536,766 00 S 530.592 45 



Comments on Expenditures 

A As of March 31, 1942, there were 189 employees paid from this vote. The following 
were receiving annual salaries of $2,400 or over on that date, or at date of separation 
(shown in brackets): C. E. Bain, $2,880; F. F. Baird. $2,520; S. C. Barry. S3.660; R. K. 
Bennett, $2,700; E. D. Bonnyman, $3,120; W. A. Brown, $4,320; D. L. Browne, I 
H. R. Bruce, $2,700; F. H. Buker, $2,520; M. V. Campbell. $3,000; S. N. Chipman, $2380 
H. W. Clay, $2,520; C. L. Coulter, S3.000; H. E. Craig. $2,520; A. F. Curran. $2,SS0; J. A 
Deguire, $2,520; H. C. Duff, $2,520; W. G. Dunsmore. 82,520; R. H. Ennism< 
J. E. Fetherstonhamih, $2,520; G. W. Foster, $2,520; II. W. Fraser, $2 LOO; 1. Garrison 
82,520; J. F. George, $2,520; J. F. Haggarty, $2,520; L. Hancock. $2,820; A. R. Bedgecoe 
S2.520; E. R. Hooey, $2,520; E. J. John-. $2,520; W. Kerr. $2,520; J. H. Kezar, $2,520 
R. L. Layton, $2,520; P. E. Light, $4,140; C. C. Lyster, $3,000; D. A. MacKenrie, I 
J. A. Marcoux. $2,520; H. J. Maybee, $3,240; R. F. McAuley, $2,520 (Jan. 3); W. C 
McConnell. $2,520; A. C. McCulloch, S2.880; D. A. McKinnon, $2,520; YV. J. McPl 
$3,000; G. B. Miller, S3.120; M. H. Miller, $2,520; A. D. Munro, *W): .1 A. I'm':!. I 
J. L. Pawl. v. $2380; L. W. Pearsall. $4,320; A. Raymond. $2,880; J. H. E. Rodrigue, - 
E. Senn, $2,580; S. W. Sheppard, $2,700; R. A. Thompson, $3,000; D. J. Williams. $3,120 
G. R. Wilson. $2,520; W. R. Wood. $3,000. 

B Represents the net cost of 5 cars after deducting $2,335 allowance on 1 trade-ins. 

K Includes payments of $300 or over to the following: T. J. Adam, $1,384.02; H. J. 
Andrews. $1,290.13; J. B. Arscnault, $733.39; F. F. Baird, $1,136.32; S. ('. Barry, $1.133.0S; 
R. G. Beatty, S477.37; R. K. Bennett. $1,023.37; E. D. Bonnyman. $1,12035; 8. R. Bowell, 



52 AUDITOR GENERAL'S REPORT 

$975.95; W. A. Brown, $1,472.36; D. L. Browne, $1,585.48; H. R. Bruce, $1,395.71; F. H. 
Buker, $960.45; J. P. Cain, $1,005.24; J. M. Caldwell, $394.30; M. V. Campbell, $937.78; 
J. T. Charland, $1,334.21; M. W. Chepesuik, $400.31; H. W. Clay, $379.22; H. Cochrane, 
$464.87; D. Craig, $858.90; W. B. Crawford, $514.85; A. F. Curran, $641.25; J. C. D'Aoust, 
$660.27; A. F. Darnell, $1,024.93; H. C. Duff, $321.69; R. H. Ennismore, $1,009.20; J. E. 
Fetherstonhaugh, $319.15; J. M. Fisher, $745.74; D. A. Fletcher, $450.01; J. Fontaine, 
$441.71; L. D. Forbes, $1,157.72; H. L. Ford, $341.10; G. W. Foster, $708.80; H. W. Fraser, 
$1,328.72; J. F. George, $35226; W. Hagger, $954.06; J. F. Haggerty, $610.17; L. Hancock, 
$516.92; W. M. Hartley, $753.35; A. R. Hedgecoe, $418.09; J. W. Hedgecoe, $761.66; 
N. Henault, $1,658.59; E. A. Holland, $642.53; E. R. Hooey, $1,064.31; W. Kerr, $452.63; 
G. Labissoniere, $608.10; M. L. Lafontaine, $338.15; J. A. LeHaye, $1,032.92; R. G. Laing, 
$1,039.58; L. A. Lalonde, $833.09; C. C. Lyster, $394.78; W. C. McConnell, $2,502.22; A. C. 
McCulloch, $659.46; J. M. MacGregor, $1,323.82; A. R. MacKay, $1,052.63; D. A. 
MacKenzie, $672.13; D. A. McKinnon, $424.13; C. M. MacMillan, $622.21; D. MacMillan, 
$649.82; W. J. McPherson, $518.44; J. Mainville, $418.26; L. J. Maltais, $1,602.29; H. J. 
Maybee, $1,175.06; G. B. Miller, $1,906.87; J. Milligan, $1,380.35; M. R. Mitchell, $1,343.52; 
G. A. Moore, $1,291.95; A. L. Morrison, $1,348.86; B. A. Mowat, $46822; A. D. Munro, 
$419.53; J. G. Murray, $1,170.10; J. Napier, $568.40; R. E. Nicoll, $707.85; G. Parent, 
$331.65; J. A. Paul, $349.47; J. L. Pawley, $547.30; L. W. Pearsall, $724.47; L. Poulin, 
$391.84; A. Raymond, $1,298.49; E. J. Reedman, $623.76; G. Rodrigue, $551.46; C. E. 
Sampel, $958.86; H. D. Scotchmer, $393.44; E. Senn, $596.14; C. R. Shackleton, $332.58; 
S. W. Sheppard, $614.18; D. Slone, $489.46; A. V. Smith, $888.09; E. V. Smith, $808.08; 
J. C. Steele, $969.30; H. L. Steves, $599.94; F. A. Stewart, $570.66; J. T. Stubbington, 
$874.86; R. A. Thompson, $1,361; A. Thornfield, $752.90; N. C. Tilker, $1,441.39; R. C. 
Trimble, $813.18; J. R. Turnbull, $364.30; P. O. Van Sickle, $882.70; W. Walker, 
$1,398.83; H. Walsh. $622.86; F. G. Ward, $1,786.22; C. S. Weber, $448.20; D. J. Williams, 
$619.10; G. R. Wilson, $55226; W. R. Wood, $488.11; R. H. Woodward, $510.90. 

Vote 28 Marketing of Agricultural Products, including temporary- 
appointments that may be required to be made, notwith- 
standing anything contained in the Civil Service Act, the 
amount available for such appointments not to exceed 

$13,000 25,000 00 

Expenditures 24,512 97 



Lapsed $ 487 03 



Estimates Allotments 

details authorized Expenditures 

A Temporary Assistance 13,000 00 13,085 00 12,815 01 

B Marketing Projects, including Advertising 4,000 00 6,450 00 6,384 43 

C Printing and Stationery 500 00 200 00 149 61 

D Supplies and Materials 500 00 269 94 269 94 

E Telephones, Telegrams and Postage 500 00 100 00 61 78 

F Travelling Expenses 6,500 00 4,895 06 4,832 20 

$ 25,000 00 $ 25,000 00 $ 24,512 97 



Comments on Expenditures 

A As of March 31, 1942, there were 10 employees paid from this vote. The following 
was receiving an annual salary of $2,400 or over on that date: W. M. Ritchie, $3,000. 

F Includes payments of $300 or over to the following: H. J. Anderson, $357.41; L. K. 
Lockerby, $463.40; W. M. Ritchie, $1,044.79; J. Tucker, $2,121.56. 

SUPERANNUATION AND RETIREMENT BENEFITS 
Gratuities to families of deceased employees. Civil Service Act, c. 22, R.S.$ 5,460 00 

SPECIAL 

Vote 29 Prairie Farm Rehabilitation Act and Water Storage 2,500,000 00 

Expenditures 2,406,503 29 

Lapsed $ 93,496 71 



DEPARTMENT OF AGRICULTURE 53 

Allotments 

authorized Expendil 

Headquarten Administration 105,000 00 99,783 48 

Cultural Experiments and Research: 

Ottawa 31,330 00 29,362 24 

University of Manitoba 12,170 00 7,896 81 

Morden 3,800 00 3,799 S 1 

Brandon 33.1 15 00 27,927 00 

University of Saskatchewan 15,000 00 13,471 34 

Saskatoon Forage Laboratory 4.065 00 3,982 24 

Indian Head Farm 36,230 00 33,487 22 

Indian Head Forest Nursery Station 30.065 00 23.346 84 

Melfort 6,500 00 6,479 59 

Sutherland Forest Nursery Station 11,000 00 10,218 60 

Scott 20,160 00 19,085 54 

Swift Current 96,110 00 95.632 97 

University of Alberta 13,875 00 13,093 57 

Lethbridge 42,495 00 42,370 35 

Lacombe 12,035 00 11,492 34 

Manyberries 7,050 00 7,048 27 

375,000 00 348,694 76 

Land Utilisation 795,000 00 774,368 44 

Water Development and Storage 1,225,000 00 1,183,656 61 

$2,500,000 00 S2,406,503 29 



The amount of the above vote was not subdivided in the Estimates; the allotments 
were authorized by the Treasury Board. 

Comments on Expenditures 

The distribution of expenditure by activity under the above allotments was: — 
Headquarters Administration — 

Ottawa administration 7,661 63 

Regina administration 41 ,788 50 

Economic surveys 44,035 49 

Entomological surveys 6,297 86 

$ 99,783 48 



Cultural Experiments and Research — 

Cultural publications and administration 11 ,S83 S3 

District experiment sub-stations and reclamation surveys 138,255 47 

Grass investigations, coverage and range surveys 41,3S6 13 

Tree planting 32,715 44 

Soils research and soil surveys 56,743 50 

Agricultural Improvement Associations' soil drifting control, including horti- 
cultural development 43.446 95 

Cultural work on irrigation projects 13,S10 04 

Live stock surveys and sheep development 10,453 40 

S 34S,694 76 



54 



AUDITOR GENERAL'S REPORT 



Land Utilization — 

Administration 26,871 55 

Community pastures : construction 330,191 84 

Community pastures: management and operation 116,589 43 

Purchase of land 62,310 06 

Purchase of bulls 19,586 37 

Re-establishment of settlers 33,918 11 

Seed purchases and preparation of lands irrigated b}' large projects 132,307 28 

Grass seeding of community pastures 52,593 80 



$ 774,368 44 



Water Development and Storage — 

Administration 33,523 16 

Small projects 493,931 83 

Large projects 447,773 82 

Water storage 104,095 68 

Surveys 104,332 12 



$1,183,656 61 

Following is a statement showing the objects of expenditure under the various 
allotments : — 

Admin- Land Water 

istration Cultural Utilization Development Total 

A Salaries and Wages.... 73,805 48 188,132 26 405,064 88 325,236 12 992,238 74 

B Travelling Expenses . . 16,647 39 33,209 84 38,606 87 107,064 89 195,528 99 

C Postage, Telephones, etc. 272 93 3,139 40 4,277 89 5,878 50 13,568 72 

D Equipment and Supplies 1,756 93 67,997 87 176,561 31 107,170 88 353,486 99 

E Feeds 2,142 08 1,642 31 3,784 39 

F Lands, Buildings, Works 10,500 76 108,036 29 582,961 79 701,498 84 

G Printing and Stationery 6,213 41 6,795 01 1,807 25 4,481 61 19,297 28 

H Legal Expenses 1,044 55 24 83 1,069 38 

I Rents 531 80 33,638 47 5,464 01 37,586 63 77,220 91 

J Freight 322 26 1,310 92 26,473 61 2,373 58 30,480 37 

K Advertising 173 18 12 04 426 77 61199 

L Miscellaneous 233 28 1,654 97 5,377 43 10,45101 17,716 69 



$99,783 48 $348,694 76 $774,368 44 $1,183,656 61 $2,406,503 29 



A Provision is made in the Act for appointment by the Minister of the necessary temporary 
officials and employees at rates approved by the Governor in Council. As of March 31, 
1942, there were 208 employees paid from this vote whose positions had been specifically 
approved by Order in Council. The following were receiving annual salaries of $2,400 or 
over on that date, or at date of separation (shown in brackets) : G. Spence, Director of 
Rehabilitation, $6,000; S. F. Arthur, $3,780; C. D. Brown, $2,400 (Feb. 18) ; H. R. Carscallen, 
$2,760; W. P. Cheney, $2,700; A. B. Cook, $2,700; H. J. de Savigny, $2,700; W. Dickson, 
$2,499.96; J. L. Doughty, $2,820; F. L. Evans, $2,700; W. L. Foss, $2,700; O. Freer, $4,179.96; 
S. H. Hawkins, $3,060; W. H. Holdsworth, $2,640; W. L. Jacobson, $3,000; G. L. MacKenzie, 
$2,760; H. H. M. Mann, $2,940; C. M. Moore, $2,700; J. I. Mutchler, $3,060; H. G. Riesen, 
$2,700; B. N. Russell, $4,020; S. F. Shields, $2,400; E. J. Stephen, $2,700; A. L. Stevenson, 
$3,000; J. E. Switzer, $2,700; V. E. Thierman, $2,700; J. C. Todd, $2,700; J. Vallance, 
•$4,500; W. Wotherspoon, $2,700. In addition to employees appointed by Order in Council, 
whose salaries totalled $402,919.46 for the year, casual labourers employed at prevailing 
rates under the various activities received wages amounting to $589,319.28. 

B Travelling expenses were incurred by engineering parties in their movements from place 
to place, by agricultural officials in the direction and inspection of various activities, and by 
other officials travelling on P.F.R.A. business. In this connection the following employees 
incurred expenses in excess of $300: J. Achtzener, $893.93; B. K. Acton, $901.39; J. L. 
Anderson, $1,014.02; R. H. Anderson, $732.83; A. H. Archibald, $462.10; E. S. Archibald, 



DEPARTMENT OF AGRICULTURE 55 

$777.24; \V. V. Arutbruster, $686.96; H. C. Armstrong, 1933.39; J I B uni ; . $1,236.51; 
.!. \. Bennett, $48434; C. B. Biddell, $650.02; H. L. Bigg, $904.89; W. G. Bock, $1,44235; 
J. L. Bolton, $409.96; S. R. Boone, $607.69; J. R. Bowring, $356.67; W. I. Bowsi r, $751 96; 

B. .1. Brockman, $734.57; II. C. Brown. $968.06; R. C. Bryce, $32435; R. II Bull, $340.75; 
G. L. Burton, $61133; R. J. Cameron, $1,75739; .1. B. Campbell, s::n 11; II W. C 

S5S0.71; .1. L. rarswell, $922.63; H. N. Cavan, $1,260.66; I.. G. Chan, $4 8; G D 

Chattaway, $95234; W. 1'. Cheney, $1,78037; II. I 1407.95; S. E. Clarke. $659.75; 

.1. s. Clayton, $609.78; R. C. Cleveland, 8350.77; R. L. Collins, $354.50; A B. i 
$596.30; W. II. Cram. $764.06; I). Cramer, $318.50; A. W. Daurie, $1 9 idaon, 

$341.44; G. X. Denike, $59739; II. .1. de Bavigny, 8610.50; J. Dickie, $65632; B. Douglas, 
SSSS.93; C. (i. E. Downing, $678.42; R. II. Dunlop, $952.12; W. Eddy, $3,05930; W. A. 
Ehrlich, $344; R. L. Erdman, $372.17; L. Eull, $1,254.70; V. I.. Evans, $1,722.90; K G 
Evans, $593.93; R. S. Everall, s;uo.70; T. S. Farquhareon, $612.75; C. W. Faretad, $32 

W. I. Foss, $1,05723; J. R. Foster, $1,005.2:5; \Y. B. Fox, $357.73; 0. Freer, $81036; 
.1. X. Galli, $55035; G. C. Gamey, $1,42137; G. G. Gibson, $516; M. Gillespi< . $1 35 
W. I). Gray, ss;;;',.65; M. Greenberg, $702.88; \Y. Bagarty, $1,038.15; T. P. Hagerman, 
$2,146.47; II. J. Hargrave, $31229; .1. D. Harvie, $537.99; S. H. Bawkins, $91331; W. D. 
Bay, ss;{G.95; D. H. Hcinrichs, S509.15; W. R. Betherington, $51734; C. Bill 
E. Bogan, Sl.360.72; J. G. S. Horsburgh, $934.82; C. Bughes, $108.89; S. C. Bummel, 
$306.50; F. V. Humphreys. $99937; P. Byndman, $1,2(56.52; \Y. I.. Jacobson, $88838; P. .1. 
Janzen, 8920.95; W. K. Janzen, $552.59; G. A. Johnson, 8302; J. C. Johnson, $578 96; R. M 
Johnson, $385.45; V. B. Johnson, $367.50; T. V. Kennedy, $497 J94; I'.. B. Kenney, $93439; 
K. M. King, $602.09; W. J. Kocher, 8772.78; N. W. Krug, $461.47; C. E. Lacina, $001''-; 
J. A. Lamb, 8546.46; S. H. Lane, $704.10; W. L. Leavitt, $472.46; R. K. Low, $46435; A. 
Ludwar, $490; G. A. McCallum, $986.89; E. V. McCurdy, $584.82; J. McDougal, $974.15; 
.1. R. McFall, $676.68; J. E. McGoey, $781.20; S. M. Mclver, $481.85; A. S. McLeod, x:;23.20; 
J. McLeod, $852.82; H. McMahon, $351.35; L. D. McMillan, $1,656.19; .1. G. 8. McMorine, 
$941.54; 1). MacNaughton, $735.23; M. Macleay, S716.33; M. Mann. Sl.093.67; C. M 
$515.67; H. J. Mather, $583.84; W. Mitchell, $1,617.12; C. J. Mohr. 8669.20; C. M. M 
$93132; J. C. Moore, $813.59; H. C. Moss, Sl,057.70; A. \V. Murphy, $1,48738; J. I. 
Mutchler, $2,221.15; S. Mysak, $530.94; J. Nargang, S332; E. Nixon, $390.45; J. E. 
O'Connell, 82.408.76; Wm. Odynsky, $422.81; A. W. Ormiston, $895.74; R. W. Ormiston, 
$649.97; L. G. Orr, $1,336.86; J. P. Osiowy, $415.75; J. P. Packota, 8304.50; R. B. Painter, 
$463.28; O. Parker, $1,503.41; R. F. Parker, $388.75; W. R. Parkinson, $48530; D. A 
Patterson, S973.90; K. R. Pattison, $329; L. C. Paul. $316.32; M. J. Peace, $322.05; R. \\ . 
Peake, 8407.53; J. Pendergast, $1,619.22; R. Peterson, S951.99; W. D. Porter, $934.13; J. C. 
Poston, $1,146.13; H. A. Purdy, $480.80; W. W. Ramsay, $1,155.24; E. J. Raymond, 8061.27; 
A. J. Reece, SI ,598.25; T. O. Riecken, $602.20; H. G. Riesen, $1,287.14; C. V. Ripley, 
8115.45; O. E. Ruecker, $467.15; B. Russell, $1,374.44; E. C. Sackville, S758.36; R. \Y - 
$347.15; B. A. Scott. 8619.98; B. P. Scull, 8870.68; W. H. Shafer, 8545.96; J. D. Shi 
$873.31; W. Shevkenek, $461.41; S. F. Shields, $1,605.97; I. Shicnficld, 8749.90; A. E. 
Sinclair, $2,227.34; A. Skjenna, $504.40; C. H. Slack, $2,106.49; G. Spence, $1,118.75; 

C. K. Statz, 8320.40; E. J. Stephen, $1,475.79; P. C. Stobbe, $432.19; J. F. StOD 

I. W. Studer, $323.51; R. A. Stutt, S571.77; J. E. Switzer, 8999.11; V. E. Thierman, 
$1,347 .20; L. B. Thomson, $1,079.99; W. B. Thomson. $539.06; J. C. Todd, $1 >' 
S. V. Tomecko, $1,239.29; T. W. Townley-Smith, $747.75; J. Vallance, $74956; C. W. 
Vrooman, $1,094.74; R. M. Walker, $1,944.77; J. G. Watson, S307.71 ; J. W. Wayling, 
$1,392.45; G. F. Webster, $531.87; F. Weir, $367.69; F. W. Widdifield, $1,826 15; .1. Wilner, 
S077.40; J. Wilson, $1,134.76; A. W. Wilton, S445.87; J. E. Winter, $529.15; E. O. H 
$717.06; W. Wotherspoon, S523.18; R. Youngman, S2,884.87; C. C. Zimmerman, $325.67. 

D In addition to numerous small pieces of equipment the following Large unite were 
purchased during the year: 11 sluice gates for the Duncairn Dam. 815.275; pumping station 
equipment, West Val Marie Irrigation Project, 8S.908.84; 3 diesel tractors, $10,605; 5 other 
tractors. 83,291.13; 2 Bcra] era, $7,045; 4 combines, S8,918.82. 33 passenger cars and 1 1 trucks 
were purchased at a net cost of S38,570.53 after deducting trade-in allowances on 20 cars 
and 3 trucks. $1S,715 was paid for the purchase of 83 bulls for use in connection with 
community pastures. 

F Payments of $3,085 were made for purchases of buildings during the 3 I'.'J '.! 

was paid for lands purchased, including payments totalling $25,917 19 for lands in connection 
with the Maple Creek Flats Project and of S15,075 for lands in connection with the Q 
Lake Storage Project. Several hundred small projects including dugout.-, stockwatering 
dams and community dams were constructed. Several large p 



56 AUDITOR GENERAL'S REPORT 

completed under contract as follows (name of the contracting firm in brackets) : Battle 
Creek Canal Enlargement (Gibbs Bros., Lumsden, Sask.), $6,786; Battle River Weir (W. C. 
Wells, Regina), $3,057.75; Canora Water Storage Project (Traub Construction Co., 
Regina), $15,265.34; Dead Horse Creek Dam (Thode Bros. Ltd., Dundurn, Sask.), $47,705.85; 
Duncairn Dam (W. B. Ramsay, Regina), $37,757.21; Hartney Dam (William Newman, 
Winnipeg), $10,206.25; LaSalle River Dams (William Newman), $8,998; Round Lake and 
Crooked Lake Dams (Philip South, Regina), $39,530; West Val Marie Irrigation Project 
(Poole Construction Co. Ltd., Regina), $50,974.30; Wood River Timber Crib (George 
Smith, Maple Creek, Sask.), $5,967.50; test drilling at Spring Coulee— St. Mary River 
(0. D. Bush, Calgary), $7,347.38. 

I This covers mainly the rentals of office space, land, and construction and land preparation 
equipment. A number of offices are occupied by engineers and others engaged in P.F.R.A. 
activity but the main expenditure in this connection was $7,872.36 for rental of space in the 
McCallum Hill Building for the head office at Regina. For lands used as district 
experimental sub-stations 56 owners received a total of $27,906 during the year. $33,071.05 
was paid for rentals of equipment used in the construction and development of large 
projects undertaken by the department. 

In addition to aforementioned contractors the following individuals or firms received 
payments from this vote of $5,000 or over: Alberta Livestock Associations, Calgary, $10,385; 
The J. H. Ashdown Hardware Co. Ltd., Regina, $8,816.73; Beaver Lumber Co. Ltd., $8,966.98; 
British American Oil Co. Ltd., $13,139.19; Canada Iron Foundries Ltd., Montreal, $9,741.39; 
W. E. Clark, Mortlach, Sask., $5,203.11; The Estate of John Dixon and the Estate of Isaac 
Chester Dixon, $24,000; Ford Motor Co. of Canada, Ltd., $19,959.59; R. J. Fyfe Equipment, 
Regina, $19,692.61; The Hubbard Trading Co., Hubbard, Sask., $5,079.90; Imperial Oil Ltd., 
$16,790.66; Massey-Harris Co. Ltd., $11,691.37; McCallum Hill Building Ltd., Regina, 
$8,202.83; the Estate of James McKinnon Jr., $15,075; National Light and Power Co. Ltd., 
Moose Jaw, $7,888.24; The Albert Olson Co. Ltd., Regina, $13,431.66; J. H. Speers & Co. 
Ltd., Saskatoon, $5,082.59; Union Tractor & Harvester Co. Ltd., $14,055.15; Mrs. Jessie Wade, 
Canuck, Sask., $5,846. 

Audit Note 

By an amendment to the Prairie Farm Rehabilitation Act (Chapter 25, assented to 
June 14, 1941), the approval of the Governor in Council is required for projects on which 
payments exceed $5,000 in any fiscal year. On certain projects undertaken on ministerial 
authority this limit has been exceeded. On others, approved by the Governor in Council, 
payments during the year exceeded the amounts specified in the authorizations. 

Prairie Farm Assistance Act, C. 50, 1939 — Amount transferred to meet the 

deficit in the Prairie Farm Emergency Fund $11,848,362 14 



Comments on Expenditures 

The Act was put into operation to provide financial assistance to prairie farmers for 
losses sustained through adverse crop conditions. The amount awarded is based on, (1) the 
cultivated acreage of the farmer and, (2) the extent to which crops have suffered. 

Part of the cost of assistance is derived from a levy of one per cent on all grain 
purchased by or through country elevators, grain dealers, licensed commission merchants, etc., 
and the proceeds for the year, $1,832,380.73, were credited to the Prairie Farm Emergency 
Fund. 

When the fund is insufficient to pay the awards the Minister of Finance is authorized, 
subject to the approval of the Governor in Council, to make an advance from unappropriated 
monies in the Consolidated Revenue Fund of the amount required to meet the deficit. Dis- 
bursements totalled $13,680,742.87 creating a deficit of $11,848,362.14 which was met by 
"transfer from the Consolidated Revenue Fund. 

480 townships in Saskatchewan and 208 in Alberta were declared to be crop failure 
areas, yielding five bushels or less per acre, and entitled to payments in accordance with 
Section 4 (2) of the Act. 

The Emergency year provisions were applied to 1,111 townships as averaging more than 
eight but not over twelve bushels to the acre; to 888 townships as averaging more than 
four and not over eight bushels per acre and to 36 townships as having not more than four 
bushels per acre. 



DEPARTMENT OF AGRICULTURE 57 

The expenditure was distributed by provinoea as follows: 

1941 Crop Year 

1940 Crop Year 

1939 Crop Year 



Manitoba 


Saskatchewan 


Alberta 


27,765 56 

56,878 40 
19 00 


10.799,955 66 
340,781 61 
2,629 3S Cr. 


2,379,147 48 

76,205 59 

2,618 95 


$84,662 96 


$11,138,107 89 


$2,457,972.02 


Audit Note 







At the close of the fiscal year a number of claims were still unsettled on account of the 
difficulty of deciding the eligibility of the applicants. Many of the applicants an also 
employed as field inspectors, school teachers, contractors, etc.. and a complete investiga- 
tion is required in each case to decide as to the primary occupation of the applicant, which. 
as required by the Regulations, must be that of fanner if the claim is to be considered as 
eligible. 

Vote 30 Prairie Farm Assistance Act 500,000 00 

Expenditures 422,459 67 



Lapsed $ 77,540 33 



Allotments 

authorized Expenditures 



A Salaries 251,000 00 

B Express. Freight and Cartage 1 ,000 00 

C Miscellaneous 8,000 00 

D Printing and Stationery 15,000 00 

E Rents 4.000 00 

F Supplies and Materials 1,000 00 

G Telephones, Telegrams and Postage 30,000 00 

H Travel and Field Expenses 190,000 00 



229,409 56 


600 47 


704 07 


6,944 25 


3,880 18 


16.769 51 


164,151 63 



S 500,000 00 S 422,459 67 



The amount of the above vote was not subdivided in the Estimates; the allotments were 
authorized by Treasury Board. 

Comments on Expenditures 

A Under the Act, authority for appointments and rates of pay is vested in the Governor 
in Council. 

As of March 31, 1942, there were 39 salaried employees paid from this vote. The 
following were receiving annual salaries of $2,400 or over on that date, or at date of 
separation (shown in brackets): W. C. Barrie, $3,200; E. L. Gray, $4,500; A. R. Mackie, 
$4,000 (Nov. 23); R. F. McGregor, $3,200; J. C. Riddell, S3,200; S. Sinclair, $3,200. In 
addition to these, fieldmen were engaged at $5 per day and clerks and typists at $2.50 and 
$3 per day during the year. 

II Includes p i vnients of $300 or over to the following: J.W.Abbott, $910.04; D. A. Adamson 
9.98; A. L. Aitkcn, $402.25; L. W. Alcock, SS34.26; W. G. Allcock, $392.40; 11. \ 
$555.25; M. Alsager, SS22.12; W. E. Andrew, S6S4.30; A. G. Andrews, S514.6S; F. P 
Appleby, $558.92; O. Bangsund. $665.28; C. W. Banks, $1,239.80; R. Barclay, I 
VY. Barrand, $552.52; W. C. Barrie, S787.23; W. J. Barrie, $654.22; J. F. P. Barschel, $46658 
(.. II Bartlett, $1,18556; N. G. Bastedo, SS15.28; A. J. Bater, $71853; W. O. I .212.50 

M. W. Beaton, Sl.143.61; R. S. Beattie, $2,077.76; A. P. Beausoleil, $637.64; W. B 
$1,178.14; E. Bedard, $934.04; E. Belhumeur, $957.19; A. M. Bell, S562.9G; G. A. Bell 
$2,030.59; J. Bell, $527.17; E. Benjaminson, S30S.41; J. E. Bergey. $671.71: X. W. Berglund 
$1,253.36; A. E. Bergquist, $911.54; A. A. Bergum, $340.68; J. L. Berry. $601.72; G. 11 
Bigelow, SS28.19; A. S. Bissett, $983.08; R. G. Black, $318.90; T. E. Black, $2,016.05 
S. Boat, S70S.06; J. O. Bois, $41528; M. Bollinger, $77S.39; W. A. Boucher, $497.73; S. M 
Boyle, $530.69; L. Braconnier, $590.01; W. W. Bradley, $2,12720; W. Bradshaw, $906.77 
59727-5 



58 AUDITOR GENERAL'S REPORT 

P. H. Branigan. $444.96; E. Brassard, $504.74; A. J. Bravener, $600.54; C. E. Brenchley, 
$321.81; I. S. Bricker, $498.34; W. E. Brown, $430.50; W. R. Brown, $806.59; G. C. Bruce, 
$618.78; P. M. Buchinski, $490.70; J. C. Bury, $422.06; J. H. Campbell, $871.59; J. S. 
Campbell, $305.40; J. P. Carmody, $637.23; M. F. Carpenter, $2,203.25; A. E. F. Cary, 
S409.04; W. C. Chapman, $738.42"; E. C. Chappell, $328.65; M. Clancy, $728.27; A. E. 
Clarke, $1,089.77; C. Clarke, $753.01; J. S. Clarke, $499.74; O. C. Clarke, $690.55; W. H. 
Clarke, $995.87; A. B. Claypool, $446.21; C. W. Cline, $740.28; R. D. Coles, $1,038.76; 
P. Colleaux, $1,706.58; A. Collopv, $512.23; P. C. Colquhoun, $530.52; T. E. Colter, 
S986.72; J. P. Connors, $934.52; H. Cook, $532.01; T. T. Cory, $680.32; J. C. Cottrell, 
S344.45; F. C. Courtney, $331.83; J. Craig, $722.45; P. L. Craigen, $723.66; R. Croteau, 
$685.47; S. L. Cuthbert, $479.65; W. Czerwinski, $878.34; N. B. Dahl, $919.65; W. J. 
Davidson, $1,205.18; E. E. Davies, $677.85; J. Davies, $707.01; N. Deaust, $709.30; 
A. Dechene, $336.49; O. Dechief, $904.45; H. Delisle, $713.81; C. Denis, $595.02; A. Derr, 
$557.58; C. Derryman, $424.77; W. R. Dever, $619.14; J. T. Dewan, $831.22; J. W. Dick, 
$5S0.61; C. Dixon, $850.42; L. A. Doan, $677.76; L. M. Dokken, $798.05; F. J. Dowd, 
$389.64; S. Dracklev, $578.80; W. S. Durning, $747.86; J. G. Dusseault, $467.21; G. Dustan, 
$502.41; T. M. Eddy, $489.30; B. H. Edwards, $1,234.29; S. G. Edworthy, $730.49; 
C. W. Elsom, $443.19; A. A. Evans, $513.22; L. Evenson, $959.49; H. B. Eversole, $313.89; 

E. S. Fagan. $713.08; F. L. Farley, $348; W. L. Faulkner, $557.49; P. Ferguson, $624.93; 

F. M. Findlay, $2,484.61; J. Finlayson, $458.61; A. C. Fisher, $371.59; C. H. Fisher, $323.89; 
J. L. Fisher, $834.08; P. F. Fitzpatrick, $1,722.87; A. L. Forrester, $2,198.58; J. France, 
$631.45; G. C. H. Frith, $1,035.04; H. A. Fulcher, $315.90; C. R. Fysh, $754.77; F. W. Gaetz, 
$985.81; J. Gair, $711.61; W. S. Gale, $895.31; D. Gallant, $753.48; W. Garman, $1,093.18; 
W. Gartly, $579.58; D. M. Geddes, $432.32; A. Gemmell, $436.92; C. George, $783.27; 
N. George, $500.24; L. E. Gibson, $840.99; W. Gibson, $1,290.08; W. E. Gill, $501.97; 

F. Z. Glebe, $1,102.70; H. Gleeson, $443.96; C. H. Goodman, $379.48; J. A. Gordon, 
$574.30; T. J. Gormican, $691.16; W. G. Graefer, $714.60; E. L. Gray, $1,763.53; G. Gray, 
$453.64; E. Greenwood, $1,142.86; W. Greer, $819.57; W. Grimes, $1,055.94; C. Grunerud, 
$585.01; J. C. Guy, $449.21; J. J. Haas, $966.62; J. H. Hackle, $921.65; G. Halvorson, 
$738.57; H. M. Haney, $481.76; J. M. Hanmore, $533.68; G. Harkness, $1,083.15; J. E. 
Harris, $427.65; E. W. Hartle, $1,507; A. V. Haslett, $1,025.64; A. E. Hawker, $676.44; 
W. Hawrelich, $395.43; D. S. Hayden, $442.45; A. H. Hayes, $1,581.54; H. D. Head, 
$1,024.56; J. D. Head, $656.30; L. E. Helmer, $798.02; C. V. Henderson, $462.28; J. S. 
Henderson, $652; H. T. Hennessy, $778.98; D. Hennings, $501.82; B. Hern, $409.48; 
J. L. Hicks, $1,345.51; S. O. Holden, $652.86; R. J. Hollingsworth, $509.10; M. A. Hoover, 
$1,131.16; A. H. Hope, $375.39; E. C. Hope, $1,360.67; A. E. Hopkins, $328.81; 
N. Hostetler, $577.87; W. A. Houghtaling, $884.65; W. D. House, $791.88; N. W. Howse, 
$707.30; A. Hudson, $370.78; W. R. Hughes, $503.75; F. Humphreys. $652.39; O. R. Hunt, 
$896.75; W. F. Hunter, $400.66; H. T. Huot, $654.37; A. R. Hutchison, $392.16; J. M. 
Inman, $565.06; J. H. Irving, $1,384.30; B. T. Jaques, $825.43; F. Jarvis, $1,121.66; P. Jensen, 
$653.58; P. R. Jeske, $669.60; J. P. Johnson, $895.92; P. H. Johnson, $865.90; C. W. 
Johnston, $573.20; J. K. Johnston, $776.96; J. W. Jones, $371.54; H. W. Joslin, $1,178.36; 
A. J. Kaiser, $719.65; T. J. Kelly, $779.81; A. J. Kennedy, $439.30; F. Kent, $574.93; L. Kidd, 
$803.42; A. E. Knight, $889.60; J. N. Kozak, $2,087.54; J. Kreen, $821.17; H. W. Krienke, 
$588.13; H. P. Kruesel, $1,577.19; A. Landry, $459.08; R. J. Langford, $330.27; W. J. 
Langley, $979.35; F. Langseth, $1,628.16; P. C. Larson, $715.65; B. Law, $425.49; J. W. 
Leake, $697.10; J. H. Leniczek, $941.36; W. E. Leppington, $599.36; W. A. Lesick, $320.82; 

G. J. Lester, $876.47; W. Lettner, $769.84; R. Leyh, $989.18; L. J. Lindberg, $456.94; 
C. M. Lockwood, $510.03; A. W. Loehr, $1,199.10; P. J. Longworth, $709.42; L. V. Lohr, 
$433.94; H. Loken, $999.02; C. Long, $463.85; C. S. Lowrie, $480.85; J. Macallister, 
$1,590.27; W. McAllister, $860.29; H. McAndie, $782.73; C. McAree, $1,799.28; G. McArthur 
$912.50; R. McCarthy, $714.79; N. McClellan, $398.72; J. E. McCune, $360.51; F. S. 
McCutcheon, $615.44; J. I. McDermott, $1,267.95; K. McDonald, $651.16; J. D. MacFarlane, 
$733.17; R. F. McGibbon, $1,694.06; R. F. McGregor, $786.67; R. Mcintosh, $610.55; D. N 
Mclntyre, $389.27; A. E. McKay, $345.87; G. H. McKay, $838.84; J. L. MacKay, $1,045.41 

"W. D. MacKay, $985.48; C. J. McKenzie, $953.17; R. B. McKenzie, $614.14; A. R. Mackie 
$688.17; R. McLaren, $491.72; S. McLennan, $578.52; D. MacLeod, $586.69; J. A. McLeod 
$360.15; R. D. McLeod, $1,212.18; C. W. McMillan, $715.66; A. M. MacPherson, $307.07 
J. A. McQuoid, $378.91; F. F. McRae, $325.50; J. McRae, $745.68; C. H. Magee, $802.82 
H. S. Magee, $580.30; R. Magosse, $2,111.67; F. E. Mann, $1,272.79; E. Marjerison, $458.63 
H. J. Marko, $818.21; J. Markowsky, $703.92; E. Markwart, $775.87; J. Marshall, $552.67 
J. E. Martin, $597.82; W. T. Martin, $1,166.23; J. Mather, $360.28; W. Matthews, $661.39 
E. E. Maxwell, $938.65; F. Mears, $677.82; J. Meikle, $701.29; J. Merinsky, $987.48; H 



DEPARTMENT OF AGRICULTURE 59 

Merrill, 1616.41; A. H. Michel, 81,621 57; T. Mikolaah, $310,84; P. Miloux, 171928; \ s. 
Mitchell, $449.42; J. A. Mitchell, $529.89; J. H. Mitchell, $774.52; S. Mitchell, 82,295.95; 
W. G. Mitchell, $429.44; \Y. W. Mitchell, $685.40; Q. L. Moffat, $863.66; B. Monaghan, 
$1,42051; N. II. Moon, S1.076.S0; J. I. Moore, $646.14; W. A. Moore, $435.93; J. Moreau, 
$382.36; E. M. Morgan, $900.75; J. E. Morgan, $62623; G. N. Morrison. 81.017 07; E. E. 
Morton, $858.49; M. Moatowy, $423.40; A. Munn, $663.27; 8. L. Myers, $68757; J. A 
Nadeau, $1,408.98; L. Neary, $789.08; G. W. Newell, $1,456.16; P. F, Hewhouse, $458.79; 
H. Newman. $4S0.62; W. Nicholson. $71050; C. K. Nickel, $501.10; S. S. Niebeigall, 
$69423; W. (i. II. Norrish, $tf&70; L. S. Nugent, $78943; W. M. O'Connor. $460.18; 
(;. H. Odegaard, $909.43; O. Olesen, $666.62; I). F. Olynyk, $45628; J. E. Parkin on, 
$867.02; H. Pearce, $62056; H. P. Pearson, $84657; K Peel, $1,617.76; G. Peters, $63558; 
G. T. Peterson. $790.06; H. J. Peterson, $390.95; F. J. Petrie, $302.:;!); G. P. Phin, $884.74; 
,1. M. Podolsky, $1,764.72; W. Poehliuan, $515.51; G. W. Pomeroy, $301j03; A. R. Porter, 
S70S; II. Poss, S1.213.S5; J. B. Poulin, 81.094.11; J. M. Powell, $48721; II. C. Powley, 
$622.48; S. L. Preston, $639.52; W. T. Pringle, $1,567.35; (i. W. Procuik, $43352; E. L. 
Prout, $1,06223; O. H. Quist, $718.15; J. Ragan, $1,367.83; J. B. Ramsay, $003.25; E. Rankin, 
$687.58; C. A. Receveur, $360.96; A. L. Rees, $417.07; J. J. Reid, $593.15; E. Richards, 
$336.82; F. J. Richardson, $531.42; J. C. Riddell, $438.42; J. W. Rohb, $878.48; II L. 
Roberge, S782.47; J. J. Roberts, $538.72; G. H. Robertson, $313.04; W. Robinson, $788.30; 
A. I). Rodgers, $709.36; D. E. Rose, $2,010.76; J. G. Ross, $794.13; N. D. Ross. $917.15; K II 
Boss, $868.84; R, N. Ross, $948.65; L. H. S. Rowbotham, $1,533.56; T. Rowles, $655.48; 
E. L. Bamis, $817.47; E. Sampson, $583.46; F. Sanderson, 81,051.16; A. Bather, S368.16; 
V. ('. Saville, $401.90; S. A. Sawyer, $379.11; J. Schmidt, $673.06; F. G. Schramm, $680.97; 
J. J. Schwartz, $664.61; E. D. Scott, $334.65; R. A. Scott, $1,135.63; W. R Scott, $419.35; 
M. Shannon, $919.03; W. N. Shepherd, $718.73; T. A. Shirkie, $1,276.44; D. T. Simpson 
$349.49; S. Sinclair, $834.65; J. Smith, $413.28; L. Smith, 81,106.93; A. Snow, $804.42; F. W 
Speak. 8305.77; A. G. Stacey, $754.39; P. Stapleton, $1,138.09; T. W. Stelfos, $652.59; 
A. L. Stevenson, $760.22; D. A. Stewart, $1,248.29; W. J. Stewart, $731.40; N. Stratychuck, 
$301.33; A. Suek, $569.94; K. Sunderman, $458.16; R. F. Swinton, $1,588.38; J. F, 
Symington, $680.38; A. Taylor, $525.83; H. Theissing, $554.67; J. Thiell, $316.14; G. 
Thompson, $328.06; H. P. Thompson, $424.82; R. Thompson, $336.82; D. Thomson, $701.28; 
E. S. Tolton, $1,197.52; A. A. Toohey, $476.83; A. J. Toudy, $394.39; L. L. Trippe, $1,190.63; 
N. H. Trofananko, $517.11; T. H. Truscott, $957.05; V. H. Turple, $593.67; C. Ulsifer, 
$478.90; A. J. Vancise, $354.92; W. Van Oerle, $572.72; P. M. Vawter, 81,186.99; M. C. 
Yerbnrg, $981.65; E. A. Wagler, $521.51; J. C. Wagner, $544.75; H. W. Walker, $1,268.37; 
A. \Y. Wallace, $353.61; J. Walton, $1,248.32; R. Ward, $486.90; J. Warkentin, si. 101.94; 
A. G. Warrington, $324.03; E. G. Waterman, $574.96; F. S. Watt, $1,018.64; K. II. Waugh, 
$477.33; J. W. Waugh, $544.80; J. Webb, $371.81; A. T. Webster, 81.285.69; T. Wei 
$107.55; J. W. Welbourne, $845.02; A. E. Wells, $878.14; R. H. Whelaa, $461.73; 
W. T. Wherrett, $552.07; J. T. Whitney, $1,676.16; H. Whitson, $664.08; W. Widdop, 
$617.36; J. P. Wiebe, $1,639.92; A. Wilson, $339.38; R. A. Wilson, 82,648.21; H. Wiltse, 
$1,059.60; H. Wiltse, $496.82; T. B. Wolff, $556.48; H. J. Woodbouse, $561.94; E. R. Wright, 
$308.16; R. L. Wright, $767.74; R. M. Wright, $697.24; J. Wyber, $911.93; I. Wylie 
$967.06; J. Young, S306.66; E. Zahorski, $1,967.72; L. R. Zurwoski, $366.69. 

Due to the interlocking nature of the administration of this Ad with the Wheat Aci 
Reduction and Prairie Farm Income programs, the foregoing details cover all three 
activities. 

Balances of advances amounting to $118.41 were unaccounted for at the close of the 

fiscal year. 

Vote 31 Assistance to encourage the improvement of cheese and 

cheese factories 1,250,000 00 

Vote 475 Further amount required 395,000 00 

Vote 419 Further amount required 100,000 00 

1,745,000 00 
Expenditures 1,676,366 56 

Lapsed $ 68,633 44 

59727— 5i 



60 AUDITOR GENERAL'S REPORT 

Allotments 
authorized Expenditures 

A Subsidies for Factory Improvement 250,000 00 181,519 33 

B Premiums on High Quality Cheese 1,495,000 00 1,494,847 23 



$1,745,000 00 $1,676,366 56 



Comments on Expenditures 

Payments under this vote are authorized by the Cheese and Cheese Factory Improvement 
Act, chap. 13, 1939. 

A Payments amounting to $174,199.75 were made to the extent of 50 per cent of expenditures 
for enlarging, insulating and/or refrigerating existing factories. On the same basis, 
standardization of cheese presses amounted to $7,319.58. 

B Payments of one cent per pound on cheese scoring 93 points and two cents on cheese 
scoring 94 or more points. 

The following is a distribution of the expenditure by Provinces, the number of 
factories participating being shown in brackets: 

Enlarging, insulating and/or refrigerating: Quebec (231), $131,609.13; Ontario (65), 
$39,182.56; Alberta (6), $3,408.06. 

Standardization of cheese presses: New Brunswick (3), $178.50; Prince Edward Island 
(1), $92; Quebec (2), $208.38; Ontario (72), $6,840.70. 

Premiums: Prince Edward Island (9), $1,377.07; New Brunswick (9), $2,441.39; Quebec 
(519), $302,643.68; Ontario (622), $1,159,488.81; Manitoba (16), $10,964.69; Saskatchewan 
(7), $1,087.52; Alberta (14), $10,215.50; British Columbia (3), $6,628.57. 

Vote 32 Assistance for the replacement of maple production equipment 75,000 00 
Expenditures 12,576 79 



Lapsed $ 62,423 21 



Quebec Department of Agriculture $ 12,576 79 



Comments on Expenditures 

An agreement was authorized between the Dominion and the Province of Quebec 
whereby they mutually undertook to assist producers of maple products in the Province in 
removing the causes of excessive lead content by replacing lead-contaminating sap buckets 
with others of approved material. 

The arrangement provided for an equal contribution by the Dominion and the Province 
and the above expenditures represent the Dominion's share. 

Vote 474 Science Service Buildings 13,000 00 

Expenditures 12,991 07 

Lapsed $ 8 93 



Allotment 

authorized Expenditures 

To complete construction $ 13,000 00 $ 12,991 07 



Comments on Expenditures 

The construction of an addition to the Botanical Laboratory at the Central Experimental 
Farm, which was commenced in the previous year, was completed by Alex. I. Garvock, 
contractor, who received $12,675; the balance comprises sundry small expenses. 



DEPARTMENT OF AGRICULTURE 



61 



Vote 422 To provide for payments on reductions in wheat acreages, 
under conditions prescribed by the Governor in Council, 
for administration expenses in connection therewith, and 
for temporary appointments that may be required 
notwithstanding anything contained in the Civil Smniee 

Act 35,000,000 00 

Expenditures 30,633,76.3 96 

Lapsed $ 4,366,236 04 



Allotments 

authorized Expenditures 

Personal Services 642,000 00 559,310 90 

Professional and Special Services 210,000 00 86,918 63 

Advertising and Publicity 15,000 00 7,024 36 

Express, Freight and Cartage 8,000 00 3,337 53 

Miscellaneous 35,000 00 1,793 37 

Printing and Stationeiy 40,000 00 32,721 71 

Rents 20,000 00 11,622 51 

Supplies and Materials 10,000 00 6.640 40 

Telephones, Telegrams and Postage 70,000 00 29,063 41 

Travel 350,000 00 241,102 23 

Wheat Acreage Reduction Payments 33,600,000 00 29,654,228 91 

$35,000,000 00 $30,633,763 96 



The amount of the above vote was not subdivided in the Estimates; 
authorized by Treasury Board. 



the allotments were 



Comments on Expenditures 

191.291 claims were filed and 166,872 were completely and 17,569 partially paid in the 
fiscal year. Landlords' claims of $90,684.27 had not been paid at the close of the fiscal year. 
A distribution by provinces is: 



Claims 
Province filed 

Alberta 62,010 

Saskatchewan 98,941 

Manitoba 30,340 



191,291 



Payments to landlords were 

Province 

Alberta 

Saskatchewan 

Manitoba 



Partial 
payments 

4,716 
10,510 
2,343 


Full 
payments 

52,926 
87.444 
26.502 


17,569 


166,872 




Paid 
claims 

15,727 




47,471 




9,811 








73,009 



Amount 
paid 

8,547,435 52 
14,776.155 95 
3.475,452 00 

$26,799,043 47 



Amount 



602,982 26 

1.892,190 17 

360.013 01 

$2,855,185 44 



A By virtue of regulations established for the operation of this program appointments and 
salaries of administrative and technical officers and employees receive the approval of the 
Governor in Council; field, clerical or other assistance may be engaged by the Minister 
but at rates of pay approved by the Governor in Council. 

As of March 31, 1942, there were 86 salaried employees paid from this vote. No employee 
was receiving an annual salary of $2,400 or over on that date. In addition to these, field- 
men were engaged at $5 per day and clerks and typists at $2.50 and $3 per day during 
the year. 



62 AUDITOR GENERAL'S REPORT 

B Represents payments to Rural Municipalities, authorized by the Governor in Council, 
for assistance rendered in connection with the handling of application forms. 

J Due to the fact that the organization provided for the administration of this program 
interlocks with that for the Prairie Farm Assistance Act, details of these expenditures are 
included with those for Vote 30. 

K Regulations were established, with the approval of the Governor in Council, to provide 
for payments to encourage a reduction in the number of acres sown to wheat in 1941 in the 
Prairie Provinces and in the Peace River and Creston Districts of British Columbia. 
The basis on which payments are authorized is as follows: 

(a) $4 per acre on land summerfallowed in 1941 in excess of the number of acres summer- 
fallowed in 1940. 

(b) $2 per acre on land sown to coarse grains or grass or both in 1941 before July 1st, in 
excess of the number of acres in coarse grains or grass or both before July 1, 1940. 

(c) $2 per acre on land sown to rye or grass or both after July 31, 1941, in excess of the 
number of acres in rye or grass before July 1, 1940. 

(d) An additional $2 per acre in respect of any payment due under (a), (£>), and (c) on 
land sown to grass or rye in 1941 and is in grass or rye on July 1, 1942, provided that 
such acreage in grass in 1942 is additional to the acreage in grass on July 1, 1940. 

Expenditures include the sum of $1,213,600.98 representing warrants outstanding at the 
close of the fiscal year; this amount has been transferred to an open account to provide for 
their subsequent redemption. 

Administrative expenses,, of $104,844.67 under the Prairie Farm Income Regulations are 
included in this vote by authority of P.C. 8126, dated October 22, 1941. 

A payment of $7,029.89 was made to J. J. Gibbons Ltd., for advertising and publicity. 

Audit Notes 

Salaries were paid to 2 employees whose employment was not authorized in accordance 
with the regulations. 

The examination of records as to acreages seeded and summerfallowed disclosed that 
frequently such were unreliable, but wilful misrepresentation appeared to exist in isolated 
instances only. 

Due to urgency, disbursements were made without complete verification of reports 
required to substantiate claims. This interim payment, as a rule 75 per cent of the claim, was 
ultimately found, in some instances, to exceed the total amount permissive. While adjust- 
ments and recoveries have been sought, final settlements have not been made in some cases. 

A refund of $32.45 was credited to allotment "K" in error on account of Prairie Farm 
Assistance awards. 



AUDITOR GENERALS OFFICE 

REVENUES 



Casual Revenue — 

Refund of previous year's expenditure 



1941-42 



1910-11 



>■ 



id :;i 



Certified i 



R. S. GLASS, 
Ass(. Auditor Gem ral. 



In accordance with the provisions of 

on 45 (1) of the Consolidated Revenue 

and Audit Act I have satisfied myself thai 

the above revenues for 1941-42 have been 

fully accounted for. 

WATSON BELLAR, 

Auditor General. 



APPROPRIATIONS AND EXPENDITURES 

A total of $471,060 was available for expenditure on account of the Auditor General's 
Office, of which $455,790 was provided in the annual appropriation acts and S15.270 was 
authorized by continuing statutory provisions. Expenditures were S456.906.46 for the fiscal 
year 1941-12. an increase of $4,192.76 over those of $452,713.70 in 1940-41. 

In addition, a total of $169,950 was allotted to the Auditor General's Office from the 
War Appropriation. Expenditures thereunder, amounting to $134,331.91, are shown in the 
War Expenditures section of this report. 



No. of 

Vote 



Services 



Appropriations Expendit ures 



Statutory Salary of the Auditor General — 
Consolidated Revenue and Audit 

Act, c. 27, 1931 

33 Salaries and Expenses of Office... 



15.000 00 
455.790 00 



15.000 00 
441.636 46 



Lapsed 



14.153 54 



Statutory 



SUPERANNUATION AND 
RETIREMENT; BENEFITS 

( rratuitii s to families of di 

emplovees. Civil Service Act, 
c 22, R.S 



270 00 



270 00 



Certified c 



B. G. McINTYRE, 
Comptroller of the Treasury. 



Total Ordinary Expenditures. .. .$ 471.060 00 S 456.90646 $ 14.15354 



These accounts have been examined and 
audited under my direction, in accordance 
with the provisions of the Consolidated 
Revenue and Audit Act. and subject to the 
observations in this report, I certify that in 

my opinion they are cor 

WATSON SELLA!?. 
Auditor Gi neral. 



Salary of the Auditor General — Consolidated Revenue and Audit Act, 
c. 27 $ 



15,000 00 



63 



64 AUDITOR GENERAL'S REPORT 

Comments on Expenditures 
Salary of $15,000 was paid to Watson Sellar. 

Vote 33 Salaries and Expenses of the Auditor GeneraVs Office 455,790 00 

Expenditures 441,636 46 



Lapsed $ 14,153 54 



Estimates Allotments 

details authorized Expenditures 

A Salaries 427.990 00 432.990 00 426,95113 

B Printing and Stationery 5,800 00 8.300 00 3,866 26 

C Printing of Annual Report 7,000 00 4,500 00 4,184 87 

D Travelling Expenses 13.000 00 8.000 00 6,011 86 

E Sundries 2,000 00 2,000 00 622 34 



$ 455,790 00 $ 455,790 00 $ 441,636 46 



Comments on Expenditures 

A As of March 31, 1942, there were 221 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date, or at date of separation (shown 
in brackets): R. S. Glass, Assistant Auditor General, $6,000; A. O. Adamson, $4,260; 
C. J. Allan. $4,320 (Sept, 12); H. R. Balls, $2,760; T. Bowles, $3,000; W. H. Casselman, 
$4,320; S. E. Chapman, $2,760; M. Clements, $2,520; L. L. Coffin, $3,240; N. H. Conley, 
$3,720; E. S. Crowder, $3,360; H. G. Crowley, $3,240; H. de Jocas, $3,360; C. H. Douglas, 
$4,320; P. F. D. Ellis, $3,000; G. O. Fortune, $3,240; R. G. Hamlyn, $4,260; J. Hopkinson, 
$5,400; W. V. Howard, $3,360; J. A. Johnstone, $3,000; L. Kent, $3,720; C. Kettles. $2,400; 
B. R. King. $4,080; D. A. MacDonald, $2,520; N. R. MacLean. $3,240; R. A. McLachlin, 
$3,000; W. P. Moore, $2,760; J. J. Nash, $3,240; W. R. O'Loane, $2,520; P. E. Pariseau, 
$3,240; T. Parkinson, $3,120; G. W. Patterson, $2,520; W. O. M. Peaker, $2,640; A. D. J. 
Powers, $3,000; F. L. Price, $3,720; S. Rettie, $4,320; L. Richard, $3,120; E. Rodriguez, 
$3,720; F. L. Seddon, $3,000; W. Simpson, $2,520; H. Slasor, $3,480; R. S. Sommerville, 
$2,520; M. I. Stevenson, $3,360; R. A. Strong, $2,760, 

D Travelling expenses in excess of $300 were paid as follows: M. Clements. $1,823.43; 
W. P. Reynolds, $420.30; E. Rodriguez, $931.10; D. A. Smith, $343.71. 

SUPERANNUATION AND RETIREMENT BENEFITS 
Gratuities to families of deceased employees — Civil Service Act, c. 22, R.S.$ 270 00 



CHIEF ELECTORAL OFFICER 
REVENUES 



Casual Revenue — 
Proceeds from sale of publications 

Fines and Forfeitures — 
By-Elections, 1941 



Certified correct. 



JULES CASTONGUAY, 

Chief Electoral Officer. 



1941-42 



1940-41 



75 



1,000 00 



,000 75 



In accordance with the provisions of 
Section 45 (1) of the Consolidated Revenue 
and Audit Act, I have satisfied myself 
that the above revenues for 1941-42 have 
been fully accounted for. 

WATSON SELLAR, 

Auditor General. 



Fines and Forfeitures — The amount of $1,000 covers candidates' election deposits 
which were forfeited in 1941 By-Elections, as follows: Welland, $200; Quebec East, $200; 
St. Man- (Island of Montreal), $400; Edmonton East, $200. 



APPROPRIATIONS AND EXPENDITURES 

A total of $282,699.70 was available for expenditure on account of the Office of the 
Chief Electoral Officer of which $17,665 was provided in the annual appropriation acts, 
and S265.034.70 was authorized by continuing statutory provisions. Expenditures were 
$281,541.34 for the fiscal year 1941-42, a decrease of $2,187,817.44 from those of $2,469,358.78 
in 1940-41. 



No. of 

Vote 

Statutory 

Statutory 
Statutory 

Statutory 



34 



Services Appropriations Expenditures 

Salary of Chief Electoral Officer, 

c. 46, 1938 7,999 92 7.999 92 

Dominion Plebiscite Act, c. 1, 1942 111,419 55 111,419 55 

Expenses of Elections — Dominion 

Elections Act, c. 46, 1938 93,200 09 93,200 09 

Expenses of Elections — Printing and 

Material, Dominion Elections Act, 

c 46, 1938 52,415 14 52,415 14 

Salaries and Expenses of Office.... 17,665 00 16,506 64 

Total Ordinary Expenditures $ 282,699 70 S 281,541 34 



Lapsed 



1.158 36 



1.158 36 



Certified correct. 



B. G. McINTYRE, 

Comptroller of the Treasury. 



These accounts have been examined and 
audited under my direction, in accordance 
with the provisions of the Consolidated 
Revenue and Audit Act, and subject to 
the observations in this report, I certify 
that in my opinion they are correct. 

WATSON SELLAR. 
Auditor General. 

Salary of Chief Electoral Officer — Dominion Elections Act, c. 46, 1938. .$ 7,999 92 



65 



59727-6 



66 AUDITOR GENERAL'S REPORT 

Comments on Expenditures 

The above mentioned Act provides that the Chief Electoral Officer shall be paid a 
salary of $8,000 per annum. Jules Castonguay, Chief Electoral Officer, was paid $7,999.92. 

Expenses of Dominion Plebiscite Act, c. I, 1942 $ 111,419 55 



Comments on Expenditures 

Section 10 of the Dominion Plebiscite Act, 1942, provided that the expenses of and 
incidental to the carrying out of the provisions of the Act should be paid out of unappro- 
priated moneys in the Consolidated Revenue Fund. In the Regulations, as passed by 
the Governor in Council pursuant to Sec. 9 of the Act, it was provided that the Auditor 
General should tax and pay all plebiscite expense accounts. 

Expenditures were as follows: Salaries, $2,323.69; cost of taking vote (to be detailed 
1942-43), $72,815.18; printing and stationery, $34,726.40; postage, telegrams, telephone, etc., 
$554.28; C. E. Bothwell, accountable advance for services rendered as legal adviser to the 
Chief Plebiscite Officer, $1,000, authority granted under Treasury Board Minute T.220107B. 
Feb. 27, 1942. 

As of Mar. 31, 1942, there were 27 employees paid from this allotment. No employee 
was receiving an annual salary of $2,400 or over on that date. 

Expenses of Elections — Dominion Elections Act, c. 46, 1938 $ 93,200 09 



Comments on Expenditures 

The Dominion Elections Act, c. 46, 1938, Sec. 60 (3) provides that the fees, costs, 
allowances and expenses to be paid and allowed to returning officers and other persons 
employed at or with respect to elections, in accordance with the tariff approved by the 
Governor in Council, shall be paid out of any unappropriated moneys forming part of 
the Consolidated Revenue Fund. Sec. 61 (1) of the same Act provides that the Auditor 
General shall tax and pay all election expense accounts. 

The expenditures above mentioned covered the following divisions of election accounts, 
viz.: — 

(a) Payments on account of the General Election of 1940 2,745 85 

(b) Payments on account of By-Election of 1940 327 35 

(c) Payments on account of By-Election of 1941, Edmonton East 12,535 96 

(d) Payments on account of By-Elections of 1942: Welland, $21,131.78; York 

South, $20,112.31; Quebec East, $16,095.66; St. Mary, $20,093.71 77,433 46 

(e) General accounts 157 47 



$ 93,200 09 



Expenses of Elections — Printing and Material — Dominion Elections Act, 

c. 46, 1938 '.$ 52,415 14 



Comments on Expenditures 

The Dominion Elections Act. c. 46, 1938, Sees. 60 (7) and 112 provides that any 
expenses incurred by the Chief Electoral Officer for printing election material and the 
purchase of election supplies shall be paid from the Consolidated Revenue Fund at any 
time after the Act has received Royal Assent, 

Expenditures were as follows: Printing and stationery, $51,021.74; Manufacturing and 
repairing mail bags, $1,393.40. 

Vote 34 Salaries and Expenses of Office 17,665 00 

Expenditures 16,506 64 



Lapsed $ 1J58 36 



CHIEF ELECTORAL OFFICER 



67 



Est [mates 

details 



A Salaries 

B Printing and Stationery 

C Travelling Expenses ... 

D Sundries 



Allotments 
authorised 



Expenditures 





15,165 00 

1,000 00 

300 00 

1,200 00 


16,065 00 
700 00 
100 00 
800 00 


15,829 23 
262 94 

414 47 


s 


17,665 00 


$ 17,665 00 


$ 16,506 64 



Comments on Expenditures 

Pender and West, Montreal, were paid $177 for legal services under authority of 
Treasury Board Minute T.202571B, Feb. 5, 1942. 

As of March 31, 1942, there were 8 employees paid from this vote. D. Stewart, Assistant 
Chief Electoral Officer, was receiving an annual salary of $3,720 on that date and was the 
only employee receiving $2,400 or over. 



59727— 6 i 



CIVIL SERVICE COMMISSION 

REVENUES 

Summary 



1941-42 1940-41 



Ordinary Revenue — Cr. Dr. 

Casual revenue $ 30 00 $ 870 00 



In accordance with the provisions of Sec- 
Certified correct. tion 45 (1) of the Consolidated Revenue and 

Audit Act, I have satisfied myself that the 
C. H. BLAND, above revenues for 1941-42 have been fully 

Chairman. accounted for. 



Civil Service Commission. 



WATSON SELLAR, 

Auditor General. 



Under the authority of section 5 of the Civil Service Act, Chapter 22, R.S. 1927, 
and section 15 (1) of the Civil Service Regulations, examination fees were discontinued 
because the suppty of applicants is insufficient to meet the demand. 

Audit Note 

Casual revenue includes $20 fines imposed on two candidates for impersonation at 
examinations. 

APPROPRIATIONS AND EXPENDITURES 

A total of $425,900 was available for expenditure on account of the Civil Service Com- 
mission, of which $406,900 was provided in the annual appropriation acts and $18,999.96 was 
authorized by continuing statutory provisions. Expenditures were $399,038.19 as compared 
with $397,42237 in 1940-41. 

In addition, a total of $242,000 was allotted to the Commission from the War Appropria- 
tion. Expenditures thereunder, amounting to $235,733.66, are shown in the War Expenditures 
section of this report. 

No. of 
Vote Services Appropriations Expenditures Lapsed 

Statutory Salaries of Civil Service Commis- 
sioners, Civil Service Act, C.22, 

R.S 18,999 96 18,999 96 

35 Salaries and Contingencies of the 

Commission 406,900 00 380,038 23 26,861 77 

$ 425,899 96 $ 399,038 19 $ 26,861 77 



The above accounts have been examined 

and audited under my direction, in accordance 

Certified correct. with the provisions of the Consolidated 

Revenue and Audit Act, and subject to the 
B. G. McINTYRE, observations in this report, I certify that in 

Comptroller of the Treasury. my opinion they are correct. 

WATSON SELLAR, 
Auditor General. 
68 



CIVIL SERVICE COMMISSION 69 

Salaries of Civil Service Commissioners, Civil Service Act, c. 22, R.S. $ 18,999 96 

Members of the Commission are paid at the following salary rates: C. H. Bland, $6,999.96; 
A. Potvin, $6,000; J. H. Stitt, $6,000. 

Vote 35 Salaries and Contingencies of the Commission $ 406,900 00 

Expenditures 380,038 23 

Lapsed $ 26,861 77 



Estimates Allotments 

details authorized Expenditures 

A Salaries 351,900 00 348,900 00 346,207 77 

B Cost of holding examinations 20,000 00 13,000 00 9,839 56 

C Printing and Stationery 20,000 00 20,000 00 7,745 92 

D Sundries including travelling expenses 15,000 00 25,000 00 16,244 98 

$ 406,900 00 $ 406,900 00 $ 380,038 23 



Comments on Expenditures 

A As of March 31, 1942, there were 237 employees paid from this vote. The following 
were receiving annual salaries of $2,400 or over on that date, or at date of separation 
(shown in brackets): N. R. Boutin, $4,020; G. A. Brown, $3,000; S. J. Daley, $4,020 
M. L. Dumont, $2,400; C. E. Garrett, $4,020; G. H. Gilchrist, $4,800; R. Gosselin, $3,420 
M. C. Guthrie, $3,000; S. D. Hemsley, $2,880; E. L. Inglis, $2,400; G. T. Jackson, $4,020 
A. C. Kemmis, $3,720; E. P. Laberge, $3,720 (Jan. 21 transferred to Unemployment Com- 
mission) ; J. A. O. Lefebvre, $3,360; G. McCann, $2,520; H. R. McNaughton, $3,720 
C. R. Medland, $3,720; L. W. Moffit, $3,480; R. Morgan, $4,020; M. Munro, $2,760 
S. G. Nelson, $4,920; P. R. Powers, $2,760; C. V. Putman, $4,680; J. G. Reid, $3,000 
E. E. Saunders, $4,200; E. W. Sibley, $2,400; J. J. Siddall, $2,400; A. Thivierge, $4,020 
H. E. Treble, $2,640; R. M. Walker, $3,000; D. M. Watters, $2,520. 

Three employees w T ere receiving annual war duties supplements on March 31, as follows: 
R. K. Copeland, $240; O. O'Connor, $240; B. A. Southgate, $180. 

B The cost of holding examinations amounted to $9,839.56. Fees of presiding and assisting 
examiners at $10 and $5 per day, respectively, were $7,091.70; fees for marking papers, 
$186.53; and rental of examination halls, janitor service, etc., $2,064.39. 

C Official publications cost $258.20, printing $3,865.06 and stationery $3,622.66. 

D Travelling expenses amounted to $11,548.07. Names of officers whose travel expenses 
amounted to over $300 follow: N. R. Boutin, $585.67; S. J. Daley, $995.16; C. E. Garrett, 
$425.30; R. Gosselin, $669.04; R. J. Groves, $1,014.45; G. T. Jackson, $345.75; G. H. Josie, 
$315.56; J. A. O. Lefebvre, $956.73; L. W. Moffit, $1,870.91; S. G. Nelson, $373.87; A. Potvin, 
$377.76; P. R. Powers, $1,018.01; J. C. Rutledge, $473.06. 

Sundry expenses were $4,696.91. They include advertising $1,408.45, and telegraph and 
telephone charges of $1,492.08. 



DEPARTMENT OF EXTERNAL AFFAIRS 

REVENUES 

Summary 

Ordinary Revenue- 1941-42 1940-41 

Casual Revenue $ 640,781 83 $ 247,239 64 



Revenues for 1941-42 show an increase of $393,542.19 over those for 1940-41. Receipts 
i f passport fees increased $397,062.06, owing to the fee of $1 being raised to $3 for passports 
to the United States. 

Casual Revenue— Details 

A Passport fees: Ottawa, $431,108.78; Buenos Aires, $6; Moncton, $45,559; 

Tokyo, $53; Vancouver, $63,438.65; Washington, $2,415.75; Windsor, $105,979; 

total $648,560.18, less refunds, $11,427.08 637,133 10 

B Visa fees: Ottawa, $116; Buenos Aires, $6; Tokyo, $354; Vancouver, $46; 

Victoria, $2 524 00 

C Refunds of previous year's expenditure 1,350 27 

D Sundry receipts: Fee paid to F. Hudd for representation on the Imperial 

Communications Advisory Committee, $1,666.25; premium on U. S. funds, 

$108.21 1.774 46 

$ 640,781 83 



In accordance with the provisions of 
Certified correct. section 45 (1) of the Consolidated Revenue 

and Audit Act I have satisfied myself that 
N. A. ROBERTSON, the above revenues for 1941-42 have been 

Under-Secretary of State for fully accounted for. 



External Affairs. 



WATSON SELLAR, 

Auditor General. 



Comments on Revenues 

A P.C. 995 of February 13, 1941, cancelled all previous regulations and stated that pass- 
ports would be valid for two years and renewable for four further periods of two years 
each, and that the fees would be $3 upon issue, and $1 for each renewal, effective April 1, 
1941. To cope with the great demand for passports, as the result of regulations of the 
United States Government requiring every Canadian citizen to present one before being 
allowed to enter the United States, branch offices are maintained at Moncton, N.B., 
Windsor, Ont., and Vancouver, B.C. 

B The $2 visa fee is authorized by P.C. 1460 of April 30, 1921. 

C Refunds of previous year's expenditure were made as follows: P. Dupuy, transportation 
and entertainment, $432.85; K. P. Kirkwood, balance of travel advance, $257.21, balance 
on hand, Mar. 31, 1941, at Greenland Consulate, $193.07; Pretoria, travel: Dr. H. Laureys, 
$26.35, A. Brassard, $47.37; Dublin, damage caused by soldiers, $161.07; cost of shipping 
iron lungs to Canada, $160.88; sundries, $71.47. 

APPROPRIATIONS AND EXPENDITURES 

A total of $1,094,297.34 was available for expenditure on account of the Department 
of External Affairs, of which $1,054,596.68 was provided in the annual appropriation Acts, 
$39,677.26 was authorized by continuing statutory provisions and $23.40 was transferred from 
the annual appropriations for the Department of Finance. Expenditures were $995,809.42 
for the fiscal year 1941-42, an increase of $32,442.54 as compared with those of $963,366.88 
in 1940-41. 

In addition, a total of $400,961.94 was allotted to the Department from the War Appro- 
priation. Expenditures thereunder, amounting to $384,224.38, are shown in the War Ex- 
penditures section of this report. 

70 



DEPARTMENT OF FXTFRNAL AFFAIRS 



71 



No. of 
Vote Services Appropriations 

36 Departmental Administration 220,800 00 

37 Representation Abroad — Including 

salaries of High Commissioners, 
Ministers Plenipotentiary, Con- 
suls, S< cretaries and Staff, not- 
withstanding anything to the con- 
trary in the Ci\ il Service Art or 
any of its amendments 593,000 00 

38 Hospitality in connection with visi- 

tors from abroad 5,000 00 

39 Expenses in connection with the 

negotiation of treaties 5,000 00 

40 publications of League of Nations 

for distribution to Members of 
Parliament and a grant to the 
League of Nations Society in 
Canada 3,000 00 

41 Loss on exchange 97,000 00 

42 A compromise payment in discharge 

of claim submitted by the Gov- 
ernment of the United States of 
America on behalf of the late 
Robert Fulton Cutting, Executor 
of the Estate of McEvers Bayard 
Brown 3,836 68 

Canada's contributions to main- 
tenance OF EXTERNAL ORGANIZATIONS 

43 Expenses of the League of Nations 

for 1941, including Secretariat, In- 
ternational Labour Organization 
and Permanent Court of Interna- 
tional Justice 120,330 00 

44 Portion of expenditure of the Im- 

perial Economic Committee and 

the Imperial Shipping Committee 4,675 00 

45 Expenses of Wheat Advisory Com- 

mittee for 1941, Canada's Assess- 
ment 1,955 00 

PENSIONS AND OTJ1KR BENEFITS 

Statutory Annuity to the Honourable Philippe 
Roy, Appropriation Act. No. 4, c. 
54, 1938 4,999 92 

INTERNATIONAL JOINT COMMISSION 

Statutory Salaries and expenses of the Com- 
mission, c. 28, 1911 34.677 34 

GENERAL 

68 Unforeseen Expenses, $80,000; trans- 
fer 23 40 

Total Ordinary Expenditures $1,094,297 34 



Expenditures 
211.505 12 



2.328 75 
96,270 24 



3.836 68 



4,999 92 



34,677 34 



23 40 



Lapsed 
9,294 88 



532,278 36 


60,721 64 


4,771 39 


228 61 


3,982 82 


1,017 18 



671 25 
729 76 



7,463 26 


22,866 74 


1,718 98 


2,956 02 


1,953 16 


1 84 



S 995.809 42 $ 98,487 92 



Certified correct. 



B. G. McINTYRE, 

Comptroller of the Treasury. 



The above accounts have been examined 
and audited under my direction, in accord- 
ance with the provisions of the Consolidated 
Revenue and Audit Act, and subject to the 
observations in this report, I certify that in 
my opinion they are correct. 

WATSON SELLAR, 

Auditor General. 



72 AUDITOR GENERAL'S REPORT 

Vote 36 Departmental Administration 220,800 00 

Expenditures 211,505 12 

Lapsed $ 9,294 88 



Estimates Allotments 

details authorized Expenditures 

A Salaries 148,765 00 

B Printing and Stationery 11,500 00 

C Sundries 20,000 00 

180,265 00 

Passport Office 

D Salaries 28,935 00 30,435 00 30,321 74 

E Printing and Stationery 11,100 00 11,100 00 10,170 14 

F Sundries 500 00 500 00 173 53 

40,535 00 42,035 00 40,665 41 



140,265 00 


134,741 01 


11,500 00 


9,948 26 


27,000 00 


26,150 44 


178,765 00 


170,839 71 



$ 220,800 00 $ 220,800 00 $ 211,505 12 



Comments on Expenditures 

A As of March 31, 1942, there were 55 employees paid from this allotment. The following 
were receiving annual salaries of $2,400 or over on that date, or at date of separation 
(shown in brackets) : N. A. Robertson, Under-Secretary of State for External Affairs, 
$10,000; L. Beaudry, $6,960; P. A. Beaulieu, $2,520; J. F. Boyce, $3,720; R. Collins, 
$2,520; C. C. Eberts, $2,520 (Sept. 1. See also Vote 37); C. F. Fraser, $2,520 (May 11); 
J. A. Gibson, $2,640; A. L. Hall, $2,400; H. L. Keenleyside, $6,000; J A. Leblanc, $3,000; 
J. Ledger, $2,520; J. S. MacDonald, $6,000; K. A. McCloskey, $3,720; M. McKenzie, 
$2,400; A. J. Pick, $2,520 (Sept. 1. See also Vote 37); J. W. Pickersgill, $3,300 (See also 
Vote 248); S. F. Rae, $2,520; J. E. Read, $6,960; P. E. Renaud, $4,580; A. Rive, $4,580; 
P. Tremblay, $2,520; J. R. M. Walker, $3,000; M. H. Wershof, $2,640. 

C Includes travelling expenses of Rt. Hon. W. L. Mackenzie King, $1,986.06; and removal 
expenses, L. B. Pearson, $1,517.04, Escott Reid, $611.08; also newspapers and publications, 
$1,706.87; postage, $673.58; taxi hire and cartage, $788.46; telegrams, cables and telephones. 
$16,540.82. 

D As of March 31, 1942, there were 24 employees paid from this allotment. The following 
were receiving annual salaries of $2,400 or over on that date; J. J. Connolly, $3,000; 
A. L. Cooper, $2,400. 

Vote 37 Representation abroad 593,000 00 

Expenditures 532,278 36 

Lapsed $ 60,721 64 



Estimates Allotments 

details authorized Expenditures 
Commonwealth — 

A London 161,000 00 161,000 00 151,519 27 

B Canberra 36,000 00 32,000 00 27,332 86 

C Wellington 34,000 00 25,000 00 20,909 56 

D Pretoria 36,000 00 28.000 00 23,104 84 

E Dublin 34,000 00 27,000 00 24,512 05 

F St. John's, Newfoundland 22,500 00 22,143 73 

301,000 00 295,500 00 269 £22 31 



Dl A 1 A R TMBNT ()i EXTERNA L A II A IRS 



73 



Estimates Allotments 

details authorized Expenditures 

Foreign Countries — 

G Washington 105,000 00 120.000 00 115,833 63 

H Paris 12.000 00 12.000 00 9,305 13 

I Tokyo 59,000 00 41.000 00 32.21144 

J Brussels 5,000 00 5,000 00 4.944 96 

K The Hague 5,000 00 5,000 00 4,607 46 

L Buenos Aires 48,500 00 42,000 00 30.105 62 

M Rio de Janeiro 48,500 00 60,500 00 52.032 34 

N Consular Services 9 : 000 00 9,000 00 7,725 48 

292,000 00 207,500 00 262,766 05 

$ 593,000 00 $ 593,000 00 $ 532,278 36 



Comments on Expenditures 

A As of March 31, 1942, there were 52 employees paid from this allotment. The following 
were receiving annual salaries of $2,400 or over on that date, or at date of separation 
(shown in brackets) : Rt. Hon. Vincent Massey, High Commissioner for Canada in the 
United Kingdom, $12,000, allowance, $26,700; P. M. Dearie, $3,000; G. R. Gotts, $2,400; 
E. J. MacLeod, $3,720; L. Mayrand, $3,420 (Oct. 23, transferred to Rio de Janeiro), 
allowance, $2,025 (Sept. 30) ; G. L. McLennan, $3,120; H. R. Patrick, $3,000; L. B. Pearson, 
$6,240, allowance, $3,780 (May 12, recalled to Canada); C. S. A. Ritchie, $3,420, allowance, 
$1,350; J. S. Spence, $3,300; A. J. Spire, $2,400; A. Towler, $2,400. Total payments for 
salaries amounted to $123,172.43, including cost of living bonus, on the same basis as 
bonus paid by United Kingdom Government. Newspapers and publications cost $755.43; 
postage, $2,869.82; printing and stationery supplies, $3,669.41; telegrams, cables and tele- 
phones, $17,113.19. 

B As of March 31, 1942, there were 5 employees paid from this allotment. The following 
were receiving annual salaries of $2,400 or over on that date, or at date of separation 
(shown in brackets) : High Commissioner for Canada in Australia, C. J. Burchell, $7,500 
(Aug. 31, appointed to Newfoundland), allowance, $5,400 and car allowance, $2,250 (July 31) ; 
Major-General Victor Odium, $7,500 (appointed Nov. 6), allowance, $5,400, and car allow- 
ance, $2,250 (paid from Jan. 7); E. B. Rogers, $2,640, allowance, $1,530 and special allow- 
ance at $112.50 per month, while acting as High Commissioner (Aug. 1 to Jan. 6). C. J. 
Burchell received $501.20 for travelling expenses and $1,956.90 for removal expenses. Major- 
General V. Odium was paid $2,080.50 for travelling and removal expenses and an advance 
of $603.67 which is unaccounted for, he also will refund $322.20 for rent paid on his behalf. 
Rent of offices amounted to $1,503.60; telegrams, cables and telephones, $1,009.74. 

C As of March 31, 1942, there were 3 employees paid from this allotment. W. A. Riddell, 
High Commissioner for Canada in New Zealand, was receiving on that date, annual salary 
of $6,960, allowance, $4,950, and car allowance, $1,800. Travelling expenses of S94S.22 were 
paid for Dr. Riddell's two children (no Treasury Board authority). Rent of offices amounted 
to $1,599.78, and telegrams, cables and telephones, $658.53. 

D As of March 31, 1942, there were 3 employees paid from this allotment. H. Laurevs, 
High Commissioner for Canada in the Union of South Africa, was receiving on that date, 
annual salary of $7,500, allowance, $4,950, car allowance, $1,800, and special allowance 
while resident in Cape Town, $1,000; he also received $701.70 for travelling expenses and 
an advance of $490.60, which is to be refunded in 1942-43. Rent of offices cost $1,659.12. 

E As of March 31, 1942, there were 6 employees paid from this allotment, The following 
were receiving annual salaries of $2,400 or over on that date: J. D. Kearney. High Com- 
missioner for Canada in Ireland, $7,500 (appointed July 31, 1941), allowance, So. 100, and 
car allowance, $1,800 (paid from Aug. 23); E. J. Garland, $3,540. allowance, SI, 800. and 
special allowance at $112.50 per month while acting as High Commissioner (Apr. 1 to 
Aug. 22). Treasury Board authority was not obtained for the following removal expense 
claims: J. D. Kearney, $1,650.56; Mrs. J. Hall Kelly, $420.08. Rent of offices, including 
heat and light, amounted to $2,483.55. 



74 AUDITOR GENERAL'S REPORT 

F As of March 31, 1942, there were 5 employees paid from this allotment. The following 
were receiving annual salaries of $2,400 or over on that date: C. J. Burchell, High Com- 
missioner for Canada in Newfoundland, $7,500 (appointed July 31, 1941, paid from Sept. 1), 
allowance, S4.950, and car allowance, $1,800 (paid from Sept. 11) ; A. J. Pick, $2,520 (paid 
from Sept. 1), allowance, $900 (paid from Sept. 11). Cost of living bonus of $10 per month 
was paid from Oct. 1 to clerical staff receiving less than $2,100. Removal expenses of 
$1,527.46 were paid for C. J. Burchell. An automobile cost $1,509.36, including transporta- 
tion. Rent of offices, with heat and light, amounted to $1,105.86, office furnishings, $2,376.37, 
and telegrams, cables and telephones, $1,632.55. 

G As of March 31, 1942, there were 26 employees paid from this allotment. The following 
were receiving annual salaries of $2,400 or over on that date: Hon. Leighton McCarthy, 
Envoy Extraordinary, and Minister Plenipotentiary for Canada in the United States, 
$10,000, allowance, $10,450, and car allowance, $1,900; H. Allard, $3,420, allowance, $2,612.50; 
B. Carter, $2,580, allowance, $456; J. A. Chapdelaine, $2,640, allowance, $2,137.50; R. M. 
Macdonnell, $3,420, allowance, $2,612.50; M. M. Mahoney, $6,480, allowance, $4,085; 
E. Reid, $4,020, allowance, $2,612.50 (paid April 1 to 30, transferred to Ottawa); H. H. 
Wrong, $6,960, allowance, $4,275. Total payments for salaries amounted to $95,236.25, 
including cost of living bonus of $15 per month paid from Oct. 1 to clerical staff receiving 
less than $2,580. L. C. Christie, Envoy Extraordinary and Minister Plenipotentiary, who 
was on sick leave with pay from February 24, 1941, at $8,360, died on April 8 and salary 
was paid for the full month; a' payment of $1,393.32, equivalent to 2 months' salary of 
the deceased, was made to the widow (T.207000B. of May 9, 1941) ; a payment of $1,104.34 
for funeral expenses was also made (P.C. 2/7994 of Oct. 15, 1941). H. H. Wrong received 
$309.60 for travelling expenses and $207.90 for removal expenses; air travel to be refunded 
by National Defence Dept., $217.50. Payments for fuel amounted to $2,320.33; printing 
and stationery supplies, $1,369.35; telegrams and telephones, $4,782.02; exchange on United 
States funds," $2,800.15. 

H As of March 31, 1942, there were 4 employees paid from this allotment. Brig. G. P. 
Vanier, Envoy Extraordinary and Minister Plenipotentiary, was paid for 5 months to 
Aug. 31 at $8,720. P. Dupuy is in charge of the office which was set up in London after 
the German invasion; this office looks after the interests of the Paris, Brussels and The 
Hague Legations. 

I As of March 31, 1942, there were 5 employees paid from this allotment. The following 
were receiving annual salaries of $2,400 or over on that date: E. D. McGreer, acting 
charge d'affaires in Japan, $4,940, allowance, $4,260; H. F. Feaver, $3,420, allowance, 
$1,350; E. H. Norman, $2,520, allowance, $1,575; T. A. Stone, $3,720; C. M. Croft (Trade 
and Commerce Dept.) was paid allowance for 6 months to Sept. 30 at $3,330. Owing 
to a state of war between Canada and Japan, no vouchers for office expenses were received 
after July, 1941. 

J K As of March 31, 1942, there was one employee paid from these two allotments. P. Dupuy 
received salary of $4,940, allowance, $2,700, and a special charge d'affaires allowance of 
$112.50 per month from Nov. 1, 1940. 

L As of March 31, 1942, there were 6 employees paid from this allotment. The following 
were receiving annual salaries of $2,400 or over on that date : Hon. W. F. A. Turgeon, 
Envoy Extraordinary and Minister Plenipotentiary for Canada in the Argentine Republic 
and the Republic of Chile, $10,000 (paid from Sept. 25), allowance, $9,500, and car allow- 
ance, $2,850 (paid from Oct. 30); K. P. Kirkwood, $4,580 (paid from Oct. 24), allowance, 
$2,565 (paid from Oct. 30). Travelling and removal expenses were paid as follows: 
Hon. W. F. A. Turgeon, $2,478.13; C. G. Sicotte, $381.84. Expenses of a six weeks' trip 
to Chile of Hon. W. F. A. Turgeon, Mrs. Turgeon and C. G. Sicotte, amounted to $1,264.50. 
Legation and office furnishings cost $7,688.27 (no vouchers submitted for $535.40) ; rent 
of offices, $603.90; rent of furnished house for Minister, $1,063.68; telegrams, cables and 
telephones, $1,861. Payment of $2,411.10 was made for an automobile, with $507.90 for 
transportation and $321.09, exchange on United States funds. 

M As of March 31, 1942, there were 7 employees paid from this allotment. The following 
were receiving annual salaries of $2,400 or over on that date, or at date of separation 
(shown in brackets) : J. Desy, Envoy Extraordinary and Minister Plenipotentiary for 
Canada in Brazil, $8,720, allowance, $9,500, and car allowance, $2,850 (paid from Sept. 10) ; 
R. A. Ford, $2,520 (paid from Sept. 1), allowance, $1,187.50 (paid from Sept. 10); K. P. 
Kirkwood, $4,580 (paid Sept. 1 to Oct. 23, transferred to Buenos Aires), allowance, $2,327.50 



DEPARTMENT OF EXTERNAL AFFAIRS 75 

(paid Sept. 10 to Oct. 23); L. Mayrand. $3,120 (paid from Oct. 21), allowance, $2,327.50 
(paid from Xov. 10). Travelling and removal expenses were paid as follows: .1. Desy, 
$1,317.67; P. DumBs, $298:59; K. P. Kirkwood. 143637; R. A. Ford, S134.85; L. Mayrand, 
$2,162.55. Ren1 of house and summer home for Minister amounted to $2,776 and fur- 
nishings for Minister's residence, $12,599.50. Rent of offices cobI $1,768.95; stationery 
and office supplies, $2,079.52; telegrams, cables and telephones, $3,232.63. 

N As of March 31, 1942, there was 1 employee paid from this allotment. M. J. Dunbar 

was appointed vice consul at $2,000 on Sept. 15 with allowance al 8500 (paid from Oct. 20); 
K. P. Kirkwood was paid at $4,580 to Aug. 31 when he was transf* -m d to Kio de Janeiro; 
A. E. Porsild received an allowance at $500 from June 25 to Dec. 8. K. P. Kirkwood 
accounted for $189.79 of his outstanding travel advance of 1940-41. the balance. $257.21 
was refunded to Casual Revenue. Of consular expenditure Outstanding in 1940-41, 
$2,412.96 was accounted for and $193.07 refunded to Casual Revenue. At March 31, 1942, 
sTs.OS kronen were unaccounted for. Cost of construction of consular building, paid during 
1940-11 and 1!) 11-12. amounted to $1,390.10, less sale of building materials, $249.27. 
M. J. Dunbar has an outstanding advance of $30. 

Vote 38 Hospitality in connection with visitors from abroad 5,000 00 

Expenditures 4,771 39 

Lapsed $ 228 61 



Vote 39 Expenses in connection with the negotiation of Treaties 5,000 00 

Expenditures 3,982 82 

Lapsed $ 1,017 18 



Comments on Expenditures 

Includes travelling expenses of Dr. C. F. Wilson (Trade and Commerce Dept.), $1,913.34 
and printing and stationery, $1,293.84. 

Vote 40 Publications of League of Nations for Distribution to Members 
of Parliament and a grant to the League of Nations Society 

in Canada 3,000 00 

Expenditures 2,328 75 

Lapsed $ 671 25 



Comments on Expenditures 

A grant of $2,328.75 was made to the League of Nations Society in Canada. There 

was no expenditure for publications. 

Vote 41 Amount required to meet loss on Exchange 97,000 00 

Expenditures 96,270 24 

Lapsed $ 729 76 



Comments on Expenditures 

Loss on exchange on Canada's contribution to the League of Nations for 1941 of 
713,963.40 Swiss francs amounted to $86,792.84; loss on exchange on contribution to Wheat 
Advisory Committee was $1,713.93. 

Payments to cover loss on exchange on salaries and allowances of government employees 
at Washington, where the Canadian dollar is depreciated by more than ten per cent, 
$6,716.14 (P.C. 8/608 of March 24, 1938). 

Payments to cover loss on exchange, incurred by the following employees, in trying 
to keep in contact with the Belgian Government during the German invasion: Jean 
Desy, $765; P. E. Renaud, $282.33 (P.C. 22/7305 of Sept. 17, 1941). 



76 AUDITOR GENERAL'S REPORT 

Vote 42 A compromise payment in discharge of claim submitted by 
the government of the United States of America on behalf 
of the late Robert Fulton Cutting, Executor of the Estate 

of McEvers Bayard Brown 3,836 68 

Expenditures $ 3,836 68 

CANADA'S CONTRIBUTIONS TO MAINTENANCE 
OF EXTERNAL ORGANIZATIONS 

Vote 43 Expenses of the League of Nations for 1941, including Secre- 
tariat, International Labour Organization and Permanent 

Court of International Justice 120,330 00 

Expenditures 97,463 26 

Lapsed $ 22,866 74 

Comments on Expenditures 

Canada's contribution for the year 1941 was 713,963.40 Swiss francs. 

Vote 44 Portion of Expenditure of the Imperial Economic Committee 

and the Imperial Shipping Committee 4,675 00 

Expenditures 1,718 98 

Lapsed $ 2,956 02 

Comments on Expenditures 

Contribution to the Imperial Economic Committee was £352-0-0; to the Imperial Ship- 
ping Committee £32-0-0. 

Vote 45 Expenses of Wheat Advisory Committee for 1941, Canada 9 s 

Assessment 1,955 00 

Expenditures 1,953 16 

Lapsed $ 1 84 

PENSIONS AND OTHER BENEFITS 

Annuity to the Honourable Philippe Roy, Appropriation Act No. 4, c. 54, 

1938 $ 4,999 92 

INTERNATIONAL JOINT COMMISSION 
Salaries and Expenses of the Commission, c. 28, 1911 $ 34,677 34 

Comments on Expenditures 

As of March 31, 1942, salaries were paid to 2 commissioners and 3 employees. The 
following were receiving annual salaries of $2,400 or over on that date: Hon. Chas. Stewart, 
chairman, $7,500; Hon. J. E. Perrault, K.C., commissioner, $7,500; L. J. Burpee, secretary, 
$4,620. 

Travelling expenses were paid as follows: L. J. Burpee, $882.91; J. L. Montgomery, 
$943.77; Hon. J. E. Perrault, $787.90; Hon. Chas. Stewart, $1,267.31; E. M. Sutherland, $521.86; 
E. C. Young, reporter, $464.40. 

The Department of Public Works received $3,432.12 for rent of offices and $99.36 
for telephone service; the cost of reporting hearings was $1,324.65. 

GENERAL 
Vote 68 Unforeseen Expenses, $80,000, transfer $ 23 40 

Comments on Expenditures 

Cost of a wreath sent on occasion of the death of President Roosevelt's mother in 
September, 1941. 



DEPARTMENT OF FINANCE 
REVENUES 

Summary 

1941-42 1940-41 

Ordinary Revenue 

Chartered Banks— Note Circulation Tax 786,482 59 898,326 33 

Insurance Companies— Tax on Net Premiums 1,148,207 01 971,365 82 

Trust and Loan Companies — Tax on Interest and Income 158 71 

Interest on Investments 21,748,700 65 14,910,554 41 

Premium, Discount and Exchange 11,855,510 31 6.107,026 77 

Casual Revenue 8,578,744 57 8,895,075 16 

Fines and Forfeitures 4,198 74 1.339 09 

.; ' h 122,002 58 31,783,087 68 

Special Receipts 4,574,759 43 6,936,414 32 



$48,696,762 01 $38,720,101 90 



Details 

A Chartered Banks— Note Circulation Tax 786.482 59 

B Insurance Companies — Tax on Net Premiums 1,148.207 01 

C Trust and Loan Companies — Tax on Interest and Income 158 71 

D Interest on Investments — 

Sinking Funds 98.780 37 

Bond Holding Account 520.866 17 

Advances to Provinces — 
Housing Loans under authority of P.C. 2997 of December 3, 1918, and 

amendments thereto 25,979 46 

Relief Loans 2,793,954 45 

Alberta Subsidy overpayment, 1914-16 14,062 50 

Quebec Debt Account 58,944 .38 

Saskatchewan Seed Grain Loans Guarantee Act, 1936, and Seed Grain 

Loans Guarantee Act, 1937 31,503 57 

Saskatchewan Power Commission 1,880 22 

Government Owned Enterprises — 

Bank of Canada 225,000 00 

Canadian Broadcasting Corporation 26,942 27 

Canadian Farm Loan Board 1,235,845 81 

Canadian Government Merchant Marine, Ltd 16,409 25 

Canadian National Railways Company 5,657,081 02 

Canadian National (West Indies) Steamships, Limited 1,205,656 97 

Foreign Exchange Control Board 4,238,351 36 

National Harbours Board 3,400.082 19 

New Westminster Harbour Commission 6 S63 43 

Soldier and General Land Settlement 1.047.774 31 

Miscellaneous — 

Canadian Pacific Railway Company 493273 26 

Current Account, Bank of Montreal, London, England 40.S90 93 

Home Improvement Loans 1,583 46 

Montreal Turnpike Trust 858 48 

Municipal Improvements Assistance Act Advances 114.823 8S 

National and Dominion Housing Acts Advances 415,685 65 

Seed Grain and Relief Advances 6,248 50 

St. John Bridge and Railway Extension Company 17.356 00 

Marine Industries Limited 52.002 76 

21,748,700 65 
77 



78 AUDITOR GENERAL'S REPORT 

E Premium, Discount and Exchange 11,855,510 31 

F Casual Revenue — 

Royal Canadian Mint and Dominion Assay Office 4,767,481 35 

Dominion share of profits of Bank of Canada 3,725,590 53 

Profits of Central Mortgage Bank 3,579 60 

Sundry Sales 3,402 39 

Sundiy Receipts 41,272 18 

Refunds of previous years' expenditures 37,418 52 

8,578,7 U 67 

G Fines and Forfeitures 4,198 74 

H Special Receipts — 

Canadian National Railways 
Capital gain in redemption of 4 per cent perpetual debenture stock of 

Grand Trunk Railway 99,274 17 

Operating surplus for the calendar year 1941 4,016,326 74 

War donations . 458,583 82 

Special donations for the relief of those in distress 522 90 

Refunds of previous years' war expenditure 51 80 

4,574,759 4$ 



$ 48,696,762 01 



In accordance with the provisions of 

section 45 (1) of the Consolidated Revenue 

Certified correct. and Audit Act I have satisfied myself that 

W. C, CLARK, the above revenues for 1941-42 have been 

Deputy Minister of Finance. fully accounted for. 



WATSON SELLAR, 

Auditor General. 



Comments on Revenues 



A The Chartered Bank Note Circulation Tax is collected under the authority of Part I 
of the Special War Revenue Act, c. 179, R.S. and amendments at the rate of one-fourth 
of one per cent upon the average quarterly amount of the notes of each bank in circulation. 

B Under the authority of Part III of the Special War Revenue Act, c. 179, R.S., as 
amended, a tax on premiums other than life or marine of licensed insurance companies 
is collected at the rate of one per cent upon the net premiums of every company other 
than a mutual company operating on the premium deposit plan; in the latter case, the 
tax is two per cent. Under the same authority, a tax of ten per cent is collected on the 
net premiums paid bj' any resident of Canada for insurance not authorized under the 
laws of Canada or of any province of Canada. During the fiscal year 1941-42, collections 
of taxes on licensed companies amounted to $1,140,569.63, and of taxes on unauthorized 
insurance to $7,637.38. 

C This represents an amount received in respect to arrears of taxation of gross interest 
and income of Trust and Loan Companies, under the Special War Revenue Act, c. 8, 
1915, as amended. 

D Interest on Investments consists mainly of interest on investments, loans and advances 
classed as active in the Balance Sheet of the Dominion. Stock of Dominion sterling 
issues continued to be purchased for investment in sinking funds to an amount equivalent 
at market value in sterling to the total of the annual contributions plus the interest on 
the stock held, under the authority of Section 9 of the Consolidated Revenue and Audit 
Act, until the 1953-58, 1950-55 and lC~8-63 loans, which were vested by the Government 
of the United Kingdom in August. 1941, were purchased by the Government of Canada 
and cancelled. Interest on this stock and on other bonds acquired by the Dominion and 
held in Sinking Fund or Bond Holding Accounts was credited to Interest on Investments 
at the current selling price of exchange. 

Housing Loans to provincial governments, made under the authority of P.C. 2997 of 
December 3, 1918, and amendments for house construction during the period following 



DEPARTMENT OF FINANCE 79 

the first Great War. bear interest II 6 per cent per annum. Payments during l'.Mi-U 
were as follows: Nova Scotia, $7£02J06; Prince Edward [aland, $1,227.40; Manitoba, 

$8,750; and British Columbia, SS.500. Loans to provinces under the authority of the 
several Relief Ads bear interest at 8 per cent. The total of $2,793,954.45 credited to the 
revenue account during the fiscal year represented interest pod m cash and w:is credited 
as follows: Alberta. $780,145.12; British Columbia, $1,042,331.60; Manitoba, $756,516.40; 
Saskatchewan, $214,96038. Collections of $31,503,57 received during 1941-42 were credited 
as part payment of interest on the Province of Saskatchewan's liability in connection 
with the advances of $2,637,398.15 and $7,136,051.09 made m L939-40 and 1940-41, n 
tively, in implementing guarantees under the Saskatchewan S< ed Grain Loans Guarantee 
Act, c. «.). 1936, and the Seed Cram Loans Guarantee Act, c. 39, 1937. The payment of 
$1,8S0.22 in respect of the Province of Saskatchewan Power Commission represents 
interest at 3' per cent on the loan $57,600 for the construction of a transmission line to 
provide an electric power Supply for certain military purposes. The loan is being amortised 
in thirty semi-annual instalments. The amount of $14,062.50 received from th< Province 
of Alberta was on account of interest at 3 per cent per annum on $468,750, i i - nting 
overpayments of subsidies to the Province in the years 1914, 1915 and 1916 and for which 
the Dominion holds a Treasury Bill of the Province. The balance of the Province of 
Quebec Debt Account bears interest at ! per cent per annum. 

Interest to December 31, 1941, at 4^> per cent per annum was received on the capital 
stock of the Bank of Canada as provided by the Bank of Canada Amendment Act, 
c. 42, 1938. The advances to the Canadian Broadcasting Corporation bore interest at 
3' per cent. Receipts from the Canadian Farm Loan Board included interest 
per cent, amounting to S175.0O0 on initial capital advances, and to $1,060,260.27 on Farm 
Loan Bonds as authorized by the Canadian Farm Loan Act, c. 66, R.S. and amendn 
and a small sum of $585.54 received on account of interest at 21 per cent on initial capital 
advances under the Canadian Fisherman's Loan Act, c. 52, 1935. The payment by the 
Canadian Government Merchant Marine, Limited, represented interest to January 1, 1942, 
at 31 per cent on the balance outstanding of the loan of S750.000 advanced to provide work- 
ing capital for the operation of certain ships seized in prize. Payment of interest on capital 
advances to the Canadian National Railways was provided for in the Canadian National 
Railway.. Capital Revision Act, c. 22, 1937. The total of S5.657.0S1.02 received during 
1941-42 included interest on the following loans: purchase of railway equipment, S650 818.25; 
Financing and Guarantee Act, 1938, $60,095.32; Financing and Guarantee Act. 1939, 
S433.4SS.28; Financing and Guarantee Act. 1940, S3.659,670.59; Financing and Guai 
Act. 1941. S315.608.92; Refunding Act, 1938. 8493,787.86; Senneterre-Rouyn Branch Line 
Construction, S22.361.80; Trans-Canada Air Linos. S19 250. Of the amount of Sl.205.656.97 
received from the Canadian National (West Indies) Steamships Limited, representing 
the operating surplus for the calendar year- 1941, S13.500 was for interest at 3 per 
on an amount advanced for working capital in 1937-38, and the balance of $1,192,166.97 
was applied to the reduction of interest accrued on non-active advances to the company 
for capital and deficits. Payments by the Foreign Exchange Control Board amount' 
$4,238,351.36 and included 8420.543.14 being interest for one year to March 31, L942, 
at the average quarterly tender rate for Treasury Bills on S75.000.000. and S2.500.0OO. 
representing one year's interest at one per cent to November 1. 1941. on 8250.000.000. 
as provided by the Exchange Fund Order P.C. 1734 of April 30, 1940. as amended by 
P.C. 7610 of December 28, 1940. The balance of Sl.317.S0S.22 represented interest at 
one per cent per annum from the date of the advances to Noveml 11, on amounts 

totalling 8400.000,000. as provided by P.C. 4598 of June 25. 1941. Amounts received from 
the National Harbours Board included payment on account of interesl on advances for 
capital purposes on account of the following harbours: Churchill. $82.19; Halifax, $500,000; 
Montreal. S2.100.000; Three Rivers, $150,000; Vancouver, $650000. In' 5 per cent 

per annum for six months to June 30. 1941, was received on a< : ' the loai 

$274,537.23 to the New Westminster Harbour Commission. 

Collections of interest on Soldier Land Settlement amounted 550.71 and on 

Ceneral I and Settlement Loans to 8145.223.60 during 1941-42. 

Interest was received from the Canadian Pacific Railway Company on account of 
advances for the purchase of railway equipment, $336,692.07; for betterment and repair 
of equipment, $34300; for rental of railway equipment and rolling stock, SI 19,007.69; 
and for wages, 82,773.50. 

Interest on the balances held in the current account at the Bank of Montreal, London. 
England, was credited quarterly at one-half of one per cent per annum. Collec 



80 AUDITOR GENERAL'S REPORT 

on account of interest on overdue payments on Home Improvement Loans amounted 
to $1,583.46. Payments totalling $858.48 were received on account of interest at 6 per 
cent per annum, under commutation agreements in respect of the Montreal Turnpike 
Trust Corporation. Loans under the Municipal Improvements Act, c. 33, 1938, bore 
interest at 2 per cent per annum. Interest at 3 per cent per annum was collected 
on the Dominion's share of loans made pursuant to the provisions of the Dominion 
Housing Act, c. 58, 1935, and the National Housing Act, c. 49, 1938. The amount of 
$6,248.50 credited to Interest on Investments in respect of Seed Grain and Relief Advances 
represented the collections by the Department of Mines and Resources on account of 
seed grain loans issued up to the year 1926 under the authority of the several Seed Grain 
and Relief Acts. Interest at 4 per cent for one year to June 30, 1941, on the loan of 
$433,900 to Saint John Bridge and Railway Extension Company was received in accordance 
with the agreement of December 10, 1883. The date for the payment of the annual 
instalment of principal and interest due from Marine Industries Limited, under the 
agreement of sale of the Sorel shipyard and equipment assigned to that company by 
General Dredging Contractors Limited, was extended from July 2. 1941, to January 1, 
1942, by P.C. 5046 of July 9, 1941. The instalment due January 1, 1942, was received 
during the year with interest at 3i per cent to the date of payment. 

No interest was received during the year on account of the advances to the Govern- 
ments of Roumania and Greece. 

E Gross receipts from premium, discount and exchange amounted to $117,810,759.75 were 
offset by disbursements totalling $105,955,249.44, the net revenue being $11,855,510.31. 
Receipts included premium on gold bullion sold, $71,914,215.80; premium on United 
States funds sold, $21,773,386.88; discount on sterling exchange purchased, $23,999,740.34, 
premium on bonds sold from Bond Holding Account, $119,914.42; and premium, etc., 
received by sundry government departments, $3,502.31. Disbursements consisted of pay- 
ments to mining companies for premium on deposits of gold bullion at the current price 
of gold in New York, $88,275,401.25; premium on United States funds purchased, $5,431,- 
550.19; discount on sterling exchange sold, $12,207,161.96; premium on stock purchased 
for sinking fund investments, $31,809.29; premium on the redemption of sterling bonds, 
$3,097.20; and sundries, $6,229.55. 

As in 1940-41, all payments in other than Canadian currency continued in 1941-42 
to be charged at the current official rates of exchange. With certain exceptions, expenditures 
were charged to appropriations at $4.47 to the pound in the case of sterling payments 
and $1.11 to the dollar for payments in United States funds, the difference between these 
rates and par being debited or credited to Premium, Discount and Exchange Account. 

F The revenue resulting from the operations of the Royal Canadian Mint totalled $4,754,« 
701.14 and included profit on gold bullion sold, $98,167.70; gain in silver bullion and 
coinage accounts, $2,598,956.71; gain in nickel coinage, $385,397.39; gain in bronze coinage, 
$435,715.46; gold handling charges, $1,299,588.67 less charges on shipments to New York, 
$291,249.46; charges for refining gold, $216,647.65; and charges for various materials and 
services, $11,477.02. Dominion Assay Office revenue amounted to $12,780.21 and consisted 
of gain in refining, $2,122.74; handling charges, $10,465.47; charges for making assays, $192. 

The Dominion's share of the profits of the Bank of Canada represented two-thirds 
of the net profits of the Bank for the calendar year 1941 as provided by the Bank of 
Canada Amendment Act, c. 42, 1938. The balance was added to the Rest Fund of 
the Bank. The net profits of the Central Mortgage Bank for the year 1941 were paid 
to the Receiver General under the provisions of the Central Mortgage Bank Act, c. 40, 1939. 

Sundry receipts included fees collected pursuant to Section 88 of the Bank Act, c. 24 ; 
1934, $1,656.25; registration and insurance fees on exchanged bonds, $35,490 less cost of 
printing bonds, $6,635.28; conscience money, $193.44; licence fees collected by the Wartime 
. Prices and Trade Board: coal and coke dealers licences, $8,807.40; hides, skins and leather 
dealers' licences, $1,247.37; and gross profits of $279.39 on defaulted Dominion Housing 
Act loans which were offset by a loss of $179.26. 

Refunds of previous years' expenditures totalling $37,418.52 included repayment by the 
Chartered Banks of bank inspection expenses for the calendar year 1941, $24,823.47; the 
balance of outstanding letter of credit cheques issued in 1930-31, $10,319.75 and refunds 
of previous years' expenditure in respect of coal subventions, $1,609.21. 

G The total of $4,198.74 credited to Fines and Forfeitures during 1941-42 was comprised 
of $1,130.08. representing confiscated money, and $3,068.66 revenue received from fines 
imposed under various federal statutes and orders in council. Of the latter amount. 



DEPARTMENT OF EINANCE 



81 



$595 was for imposts under by-laws established under the Federal District Commission 
Act, c. 55, 1927, and amendments, and $2,286 under Wartime Prices ;md Trade Hernia- 
tions (P.C. 2516 of Sept. 3, 1939, as amended). 

H The amount of $99,274.17 included in special receipts is the capital gain on the redemption 
of Grand Trunk Railway 4 per cent perpetual debenture stock, and is taken into the 
Dominion accounts as an offset to a corresponding increase in the Canadian National 
Railways Securities Trust Stock represented by a charge to Non-Active Accounts in the 
year's expenditure. The amount of $4,016,326.74 is a similar credit to special receipts, 
offsetting the equivalent increase of the Dominion's equity in the Canadian National 
Railways due to the surplus earnings of the Canadian National Railway system for the 
calendar year 1941. 

Donations received during the year totalled $459,106.72 of which $522.90 was classed 
as special donations for the relief of those in distress. The balance of $458,583.82 repre- 
sented sums donated to the government to aid in the prosecution of the war. 

Refunds in respect of previous years' war expenditures totalling $51.80 were received 
and credited to Special Receipts during the fiscal year. 

APPROPRIATIONS AND EXPENDITURES 

A total of $304,786,789.59 was available for expenditure on account of the Department 
of Finance, of which $55,992,679.40 was provided in the annual appropriation Acts, 
and $248,794,110.19 was authorized by continuing statutory provisions. Expenditures were 
$280,201,360.18 for the fiscal year 1941-42, an increase of $37,222,713.15 over those of 
$242,978,647.03 in 1940-41. 

In addition, a total of $20,571,507.28 was allotted to the Department from the War 
Appropriation. Expenditures thereunder, amounting to $16,725,076.21 are shown in the 
War Expenditures section of this report. 



No. of 
Vote 



Services 



Appropriations Expenditures 



Lapsed 



420. 46] 

67/ 
47 

48 



49 

S 



Salary of Minister — Salaries 
Act, c. 182, R.S 

Motor Car Allowance to Min- 
ister — Appropriation Act 
No. 5, c. 61, 1931 

Departmental Administration. 

Bank Inspection (Inspector 
General of Banks' Office) . . 

Royal Canadian Mint, includ- 
ing the Dominion of Canada 
Assay Office 

Retirement Benefits — Royal 
Canadian Mint Act, c. 48, 
1931 



Housing Branch 

National Housing Act, Ad- 
ministration 

Fees for making loans in re- 
mote localities — National 
Housing Act, c. 49, 1938.. 

Tax payments — National 
Housing Act, c. 49, 1938... 

Home Improvement Loans — 
Losses — Home Improvement 
Loans Guarantee Act. c. 11, 
1937 



10.000 00 

2,000 00 
371,755 76 

26,000 00 

310,929 00 

10,489 09 
731,173 85 

S9,390 00 

19,692 87 
171.719 37 



121.157 62 
401,959 86 



10,000 00 

2,000 00 
366.082 18 

24.948 06 

304,309 74 

10,489 09 
717J829 07 

S6.595 32 

19,692 87 
171,719 37 



121.157 62 
399,165 18 



5,673 58 
1.051 94 

6.619 26 

13,344 78 
2.794 68 



2,794 68 



82 



AUDITOR GENERAL'S REPORT 



No. of 
Vote 



50 



420. 5l\ 

67/ 
52 



55 



Services Appropriations 

Old Age Pensions 

(Including Pensions to the 

Blind) 

Old Age Pensions including 
Pensions to the Blind, Ad- 
ministration 42,320 00 

Payment of Dominion's share 
of pensions — Old Age Pen- 
sions Act, c. 156, R.S 29,611,796 15 

29,654,116 15 

Superannuation, Retire- 
ment Benefits and Sundry 
Pensions 

Superannuation and 
Retirement Benefits 

Superannuation and Retire- 
ment Acts, Administration. 50,080 01 

Government's contribution to 

the Superannuation Fund.. 2,365,000 00 

Retiring allowances to former 
employees of the Depart- 
ment of Public Printing and 
Stationery 2,500 00 

Superannuation allowances — 
Civil Service Superannua- 
tion and Retirement Acts, 
c. 4, 1870, and c. 12, 1893.. 156,416 55 

Retirement allowances — Pub- 
lic Service Retirement Act, 
c. 67, 1920 : 187,510 84 

Widows' annuities — Civil Ser- 
vants' Widows' Annuities 
Act, c. 74, 1927 89,304 69 

Gratuities to families of de- 
ceased employee s — Civil 

Service Act, c. 22, R.S 1,750 00 

2,852,562 09 

Public Debt Charges 

Consolidated Revenue and 

Audit Act, c. 27, 1931 

Interest on Public Debt 155,017,900 66 

Annual Amortization of Bond 

Discount, Premiums and 

Commissions 10,981,591 08 

Servicing of Public Debt — 
Redemption and Transfer 

of Bonds 163,866 74 

Commission for payment of 
interest on public debt, 
Services of Fiscal Agents, 
London, English bill 
stamps, Registrars' Fees, 

etc f . 165,100 00 

Loan Flotation Charges 5,367,926 19 

171,696,384 67 



Expenditures 



Lapsed 



36,346 68 



10,981,591 



163,866 74 



5,973 32 



29,611,796 15 

29,648,142 83 5,973 32 



50,079 77 24 

2,347,225 53 17,774 47 

1,785 96 714 04 

156,416 55 

187,510 84 

89,304 69 

1,750 00 

2,834,073 34 18,488 75 

155,017.900 66 



116,409 06 48,690 94 

5,367,926 19 

171,647,693 73 48,690 94 



DEPARTMENT OF FINANCE 83 

No. of 

Vote Services Appropriations Expe nditures Lapsed 

Subsidies to Provinces 
British North America Aet 

S Ontario 3.136.303 68 3.136,393 68 

S Quebec 2.859.244 68 2,859.244 68 

S Nova Scotia 701,322 80 701,322 80 

S New Brunswick 729,166 56 729,166 56 

S Manitoba 1.713,284 18 1.713,284 18 

S British Columbia 966,513 46 966.513 46 

S Prince Edward Island 381,931 88 381,931 88 

S Alberta 1,788,589 40 1.788,589 40 

S Saskatchewan 2,132.175 00 2,132.175 00 

14,408,621 64 14A08,6$1 64 

Compensation to Provinces 
re Taxation Agreements 

476 Compensation to provinn g 
which agree to vacate the 
personal income and cor- 
poration tax fields for the 
duration of the war, the an- 
nual amount thereof being 
computed in accordance 
with and subject to the 
terms and conditions of 
agreements approved by the 
Governor in Council and 
entered into with such prov- 
inces by His Majesty the 
King in the right of Canada 
represented by the Minister 
of Finance and on a basis 
which will produce substan- 
tially the equivalent of 
either — 

(a) The revenues which the 
province and its muni- 
cipalities obtained from 
these sources during the 
fiscal year ending near- 
est to December 31. 
1940, less the amounts 
collected after the close 
of such fiscal year by 
the province and its 
municipalities in respeel 
of persona] income and 
corporation taxes levied 
upon incomes of 1940 
or prior years or based 
upon the status or oper- 
ations of the taxpayer 
in 1940 or prior years; 
or 
(6) The net debt service 
paid by the province 
during the fiscal year 
ending nearest to De- 
cember 31, 1940 (not in- 
cluding contributions to 



84 AUDITOR GENERAL'S REPORT 

No. of 
Vote Services Appropriations Expenditures Lapsed 

sinking funds) less the 

revenue obtained from 

succession duties during 

that period and less the 

amounts collected after 

the close of such fiscal 

year by the province 

and its municipalities in 

respect of personal in- 
come and corporation 

taxes levied upon in- 
comes of 1940 or prior 

years or based upon the 

status or operations of 

the taxpayer in 1940 or 

prior years 
and for the payment of 
fiscal need subsidies to such 
of said provinces as enter 
into such agreements and 
can demonstrate to the sat- 
isfaction of the Governor in 
Council that these are 
necessary : 
an amount not exceeding... 45,000,000 00 21,120,443 32 23,879,556 68 

Miscellaneous Grants and 
Contributions 

57 Canadian General Council of 

the Boy Scouts 9,000 00 9,000 00 

58 Dominion Council of the 

Girl Guides 

59 Royal Astronomical Society.. 

60 Royal Canadian Academy of 

Arts 

61 Royal Society of Canada 

32 Report on cultural conditions 

in Canada (literature, art, 

drama, education, etc.) 2,500 00 2,500 00 

Federal District Commis- 
sion — 
63 Maintenance and improve- 
ment of grounds adjoining 
Government buildings, 
Ottawa, and for improve- 
ments to the parkway sys- 
tem under the control of 
the Federal District Com- 
mission 133,500 00 131.439 09 2,060 91 

S Maintenance of parks, park- 
ways and plant, Ottawa and 
vicinity under control of the 
Federal District Commis- 
sion, c. 55, 1927, and c. 26, 
1928 200,000 00 200,000 00 

S Corporation of the City of 
Ottawa, Ottawa Agreement 
Act, c. 7, 1940-41 100,000 00 100,000 00 



4,860 00 


4,860 00 


1,620 00 


1,620 00 


2,025 00 


2,025 00 


4,500 00 


4,500 00 



DEPARTMENT OF FINANCE 85 

No. of 
Vote Services Appropriations Expenditures Lapsed 

S National Battlefields Com- 
mission, c 57, 1908, and 

amendments 75,000 00 ] 75,000 00 ] 

420 Cost of living bonus, supple- \ \ 

ment 3.300 00 J 3,300 00 J 

536,305 00 6&4J44 09 2,060 91 

General 

64 Tariff Board, including the 

Dominion Trade and Indus- 
try Commission — Payments 
may be made notwithstand- 
ing anything in the Civil 

Service Act or Regulations 86,000 00 57,612 32 28,387 68 

65\ Expenses of the Comptroller 
477/ of the Treasury's Office.... 2,100,457 00 2,044.62180 55,835 20 

66 Farmers' Creditors Arrange- 

ment Act, 1934, and Muni- 
cipal Improvements Assist- 
ance Act, 1938, Administra- 
tion 261,000 00 177,458 77 83,54123 

67 Salaries, reclassifications and 

increases 100,000 00 

Less transferred.. 28,717 47 

71,282 53 71,282 53 

65 Unforeseen ex- 

penses 80,000 00 

Less transferred. 18,517 28 

61,482 72 48,034 24 13,448 48 

420 Cost of Living 

Bonus 1,300,000 00 

Less trans- 
ferred 1.017,337 62 

282,662 38 282,662 3S 

S Redemption of Previous 
Years' Cheques — Consoli- 
dated Revenue and Audit 

Act, c. 27, 1931 893 99 893 99 

2,863,778 62 2,328,621 12 535,157 50 

Coal Subsidies and 
Subventions 

173 Dominion Fuel Board Ad- 

ministration and Investiga- 
tions 27,415 00 26.954 41 460 59 

174 Payments in connection with 

the movements of coal 

under conditions prescribed 

by the Governor in Council 4,500,000 00 4,421,146 42 78,853 58 

S Subsidies under the Domestic 

Fuel Act, c. 52, 1927 53,013 00 53,013 00 

S Subsidy payments under an 

Act to place Canadian coal 

used in the manufacture of 

iron or steel on a basis of 

equality with imported coal, 

c 6, 1930 379,058 59 379,058 59 

4^59,486 59 4,880,172 ',1 7 9 $14 17 



Total Ordinary Expenditures. $273,104,3SS 47 S248.519.006 74 $ 24,585,381 73 



86 AUDITOR GENERAL'S REPORT 

Vote Services Appropriations Expenditures Lapsed 

Special 

112 Comptroller of the Treasury's 
Office — Administration ex- 
penses generally, including 
salaries and travelling ex- 
penses 



18,000 00 17,952 32 47 68 



Write down of Assets 

Cancellation of Canadian 
Farm Loan Board — Capital 
S t o c k — Canadian Farm 
Loan Act, c. 66, R.S. and 
amendments 9,613 00 9,613 00 

Canadian National Railways 
Securities Trust Stock — Re- 
duction due to line aban- 
donments — Canadian Na- 
tional Railways Capital Re- 
vision Act, c. 22, 1937 2,539,187 21 2,539,187 21 



Total Write down of Assets. . 2,548,800 21 2,548,800 21 



Other Charges 

Provision for Reserve Ac- 
count — Loans and Advances 
— Consolidated Revenue 
and Audit Act, c. 27, 1931. . 25,000,000 00 25,000,000 00 



Non-Active Accounts 

Increase in Canadian National 
Railways Securities Trust 
Stock — Increase due to sur- 
plus earnings, calendar year 
1941 — Canadian National 
Railways Capital Revision 
Act, c. 22, 1937 4,016,326 74 4,016,326 74 

Increase in Canadian National 
Railways Securities Trust 
Stock — Capital Gain on Re- 
demption 4% G.T.R. Per- 
petual Debenture Stock — 
Canadian National Railways 
Capital Revision Act, c. 22, 
1937 99,274 17 99,274 17 



Total Non-Active Accounts.. 4,115,600 91 4,115.600 91 



Total $304,786,789 59 $280,201,360 18 $ 24,585,429 41 



The above accounts have been examined 
and audited under my direction, in accord- 
Certified correct. ance with the provisions of the Consolidated 

Revenue and Audit Act, and subject to the 
B. G. McINTYRE, observations in this report, I certify that 

Comptroller of the Treasury. in my opinion they are correct. 

WATSON SELLAR, 
Auditor General. 



DEPARTMENT ()!• PINANCB 87 

Salary of Minister, the Honourable J. L. Hsley — Salaries Act, c. 182, K.S..S WA)()0 00 

Motor Car Allowance to Minister, the Honourable J. L. Ilsley — Appropria- 
tion Act l\o. 5, c. 61, 1931 $ 2,000 00 

Vote 46 Departmental Administration £ 356,42.1 00 

Vote 67 Salaries, reclassifications and increases, supplement 4,498 07 

Vote 420 Cost of living bonus, supplement 10,832 69 

371,755 76 

Expenditures 366,082 18 

Lapsed $ 5,673 58 



Estimates Allotments 

details authorized Expenditures 

A Salaries 238,275 00 280,605 76 280,605 76 

B Print ing and Stationery 22.200 00 22.200 00 20,837 88 

C Express on Coin and Silver Bullion Shipment 70,000 00 50,000 00 19352 87 

D Travelling Expenses 6,250 00 4.250 00 2 556 84 

E Sundries 19,700 00 14.700 00 12,228 83 



$ 356,425 00 $ 371.755 76 *S 366.082 18 



Comments on Expenditures 

This vote was provided for administration expenses not exclusively related to any 
branch of the department. 

A As of March 31, 1942, there were 175 employees paid from this vote. The following 
were receiving annual salaries of $2,400 or over" on that date, or at date of separation 
(shown m brackets): W. C. Clark, Deputy Minister, $12,000; C. A. Annis, $3,420; 
R. B. Bryce, 84,200; W. J. Callaghan, S3.600; R. L. Casselman. S3.720; J. E. Coyno. $5,000 
(Nov. 16); A. K. Eaton. $4,500; A. Edington. S2,520, local allowance, $480; G. D. Emmy. 
$2,400; M. Guthrie, S2.400; W. E. Hunter, S4.140; D. M. Johnson, $5,700 (on loan to 
Department of External Affairs from Oct. 1); T. Lawson, S3,660; G. E. Lowo. $3,000; 
J.G. Macfarlane, $5,700; W. A. Mackintosh, $7.500 ; G. W. McCavour, $2,400; G. McGougan, 
$2,820; J. Otter. S2,400; A. F. W. Plumptre. $5,000; E. Purkiss, $2,400; K. I\ Richardson, 
$3,240; W. C. Ronson. S6.300; M. W. Sharp. $4,500; W. Smellie, $4,080; J. B. Taylor, 
$4,800; J. R. Tolmie, S3,900; A. L. Wickwire, $4,080. 

Living, representation and house allowance at the rate of $2,375 per annum was paid 
to the financial attaches at the Canadian Legation, Washington, as follow-: .1 E. Coyne 
Apr. 1 to Nov. 15; A. F. W. Plumptre. Jan. 1 to Mar. 31. 

B This amount was comprised of payments to the King's Printer. 

E Payments for express charges on shipments of coin and silver bullion were made u 
follows: Canadian National Express Companv. $19,921.44; Canadian Pacific Express Com- 
pany, $24,288.76; Bank of ('ana. la. $5,642.67. 

D The following received travelling expenses in excess of S300: Honourable J. L. i 
S15S: W. C. Clark. $404.44; J. E. Coyne, $117.77; W. E. Hunt, r, $583.95. 

E This allotment includes 85,294.75 paid to W. L. Gordon u an allowance to cover living, 
travelling and other out-of-pocket expenses as authorized by P.C. 10/7354 of Deceml 
1940, while acting as special assistant to the Deputy Minister of Finance. An amount 
of $1,745.16 was paid to Mr. Gordon in 1940-41 on the same basis and under the 
authority. 



88 AUDITOR GENERAL'S REPORT 

Vote 47 Bank Inspection (Inspector General of Banks* Office) 26,000 00 

Expenditures 24,948.06 

Lapsed ' • .$ 1,051 94 



A Salaries 

B Rental 

C Travelling Expenses 

D Sundries 



Estimates 
details 


Allotments 
authorized 


Expenditures 


18,000 00 

900 00 

2,100 00 

5,000 00 


18,086 07 

900 00 

2,900 00 

4,113 93 


18,082 48 

900 00 

2,730 45 

3,235 13 



$ 26,000 00 $ 26,000 00 $ 24,948 06 



Comments on Expenditures 

This vote was provided for the expenses in connection with the examinations and 
inquiries into the affairs and business of the Chartered Banks as required by Section 56 
of the Bank Act, c. 24, 1934. All expenses are assessed against the Banks in proportion 
to their total assets. 

A As of March 31, 1942, there were 3 employees paid from this vote. The following was 
receiving an annual salary of $2,400 or over on that date: C. E. S. Tompkins, Inspector 
General of Banks, $15,000. 

C The following received travelling expenses in excess of $300: C. E. S. Tompkins, $2,730.45. 

Vote 48 Royal Canadian Mint, including Dominion of Canada Assay 

Office 310,929 00 

Expenditures 304,309 74 

Lapsed $ 6,619 26 

Estimates 
details 

A Salaries 224,640 60 

B Retired Allowances 6,288 40 

C Miscellaneous 3,037,00 

D Equipment— Machinery and Repairs 10,217 00 

E Power, Light and Heat 9,505 00 

F Supplies— Coining 7,900 00 

G Supplies — Refining and Assaying 35,212 00 

H Printing and Stationery 1,342 00 

I Freight, Cartage, Express, etc 4,850 00 

J Travelling Expenses 100 00 

K Contingent Reserve 7,837 00 



Allotments 




authorized 


Expenditures 


224,940 60 


224,834 30 


6,288 40 


4,128 68 


3,537 00 


3,295 40 


4,467 00 


3,808 66 


11,205 00 


11,083 76 


20,487 00 


19,922 45 


34,912 00 


32,680 58 


2,442 00 


2,217 04 


2,300 00 


1,997 49 


350 00 


341 38 


$ 310,929 00 


$ 304,309 74 



Comments on Expenditures 

This vote was provided for the expenses incidental to the operation of Royal Canadian 
Mint and Dominion Assay Office under the authority of the Royal Canadian Mint Act, 
c. 48, 1931, and including the minting of silver, nickel and bronze coin and the refining | 
and assaying of gold bullion. 

Expenditures at the Royal Canadian Mint, Ottawa, totalling $285,183.73 were charged] 
as follows: salaries and temporary assistance, $207,775.75; retired allowances, $4,128.68; mis- 
cellaneous, $2,548.10; equipment: machinery and repairs, $3,599.52; power, light and gas, I 
$11,083.76; supplies: coining, $19,922.45; supplies: refining and assaying, $31,720.01; printing 
and stationery, $2,120.45; freight, cartage, express, etc., $1,943.63; travelling expenses, $341.38. 



DEPARTMENT OF FINANCE 89 

Additional expenditures for the Royal Canadian Mint, amounting to $79,181.52, u< p 

charged to the War Appropriation and are shown in the War Appropriation Section of this 

report. 

Dominion Assay Office expenditures totalled $19,126.01 and were allotted as follows: 

salaries and temporary assistance . $17,058.55; miscellaneous, $747.30; equipment: machinery 

and repairs, $209.14; .supplies: refining and assaying, S960.57; printing and stationi ry, $96.59; 

freight, cartage, express, etc., $53.86. 

A As of March 31, 1942, there were 122 employees of the Royal Canadian Mint and 8 
employees of the Dominion of Canada Assay Office paid from this vote. The following 
were receiving annual salaries of 82,400 or over on that date, or at date of -■ paration 
(shown m brackets): 11. E. Ewart, Master, Royal Canadian Mint, $6,900; P. \\ . 
$3,600; R. J. Edmunds, $3,960; C. W. Ellis, $2,520; A. L. Entwistle, $4,500; J. Fitssimmons, 
$2,400; G. N. Ford, $3,720; W. A. Hawk.. v. $3,000; G. W. V. Howard, $3,900 (Jan. 1); 
J. P. Howe. $2,400 (June 30); C. J. Morris, $2,700; F. R. Mulford, $2,400; E. V. Murray, 
$2,700; J. G.Perry, $2,400; T. Shingles, $2,520; V. R. Thirkell, $2,700; O. C. Toller, $2,820; 
A. S. Vince, $2,700; A. P. Williams, $3,300. 

Employees whose salaries were paid from this Vote received $26,861.35 for overtime 
which was charged to the War Appropriation. 

B Retired Allowances were paid to the following: A. H. Cleave, $2,307.08; J. Roe, Sl,821.60. 

E One payment in excess of $5,000 for power, light and heat was made to the Ottawa 
Light, Heal and Power Co. Ltd., $11,083.76. 

G Two payments in excess of $5,000 for refining and assaying supplies were made as 
follows: Morgan Crucible Co. Ltd., $5,627.90; Nicholls Chemical Co. Ltd., S17,386.02. 

Audit Note 

As stated in the 1940-41 Report, the attention of the Master of the Mint and of 
the Civil Service Commission was directed to the fact that 14 positions, occupied by 
temporary labourers, had not been classified as required by Order in Council of June 29, 
1922 (P.C. 1053). Although this matter had been the subject of correspondence since 
1939, no action was taken, and the occupants of eleven unclassified positions were paid 
to March 31, 1942. 

Retirement Benefits to former employees of the Mint — Royal Canadian 

Mint Act, c. 48, 1931 $ 10,489 09 



Comments on Expenditures 

Payments to former employees of the Royal Mint of the portions of their retirement 
benefits referable to their services in the Ottawa Branch of the Royal Mint were as follows: 
J. Burke, $883.44; F. J. Cletheroe, $1,050; G. V. W. Howard, $4,856.46; H. S. Lowe, $1,104; 
T. H. Mansell, $1,140; R. G. J. Pearson, $802.65; R. C. Roe, S880. Refunds by the British 
Government on account of the portion of the benefits for the year ended March 31, 1941, of 
F. J. Cletheroe and T. H. Mansell, referable to their services in the Royal Mint, and amount- 
ing to S54.56 and $172.90, respectively, were credited during the fiscal year 1941-12. 

Housing Branch 

Vote 49 National Housing Act, Administration $ 89,390 00 

Expenditures 86,595 32 



Lapsed $ 2,794 68 



A Salaries 

B Printing and Stationery 

C Travelling Expenses . . 

D Sundries 



Estim 


Alio 




details 


authorized 


•enditures 


73,890 00 


73,090 00 


71,651 75 


7,500 00 


6.227 00 


6,226 87 


5,000 00 


7>00 00 


6.S60 16 


3.000 00 


2.273 00 





S S9.390 00 S S9,390 00 

59727—7 



90 AUDITOR GENERAL'S REPORT 

Comments on Expenditures 

This vote was provided for the expenses of administering the Dominion Housing 
Act, c. 58, 1935; the National Housing Act, c. 49, 1938, and the Home Improvement Loans 
Guarantee Act, c. 11, 1937, including the supervision of loans, guarantees and tax payments 
made thereunder. 

A As of March 31, 1942, there were 43 employees paid from this vote. The following 
were receiving annual salaries of $2,400 or over on that date: R. Berrill, $2,460; R. W. G. 
Card, $2,640; J. J. Hyland, $3,240; H. C. Jarvis, $2,520; S. L. Livingston, $2,460; F. W. 
Nicolls, $5,700. The following was paid at $500 per month from Mar. 12 to Apr. 30, 1941 : 
R. Ham, $822.58. 

B The following received travelling expenses in excess of $300: R. W. G. Card, $656.78; 
W. G. Davies, $1,323.64; S. A. Gitterman, $532.16; H. C. Jarvis, $300.73; H. T. Gouin, 
$813.89; F. W. Nicolls, $2,567.89. 

Fees for making loans in remote localities — National Housing Act, c. 49, 

1938 $ 19,692 87 



Comments on Expenditures 

Section 4 (h) of the National Housing Act authorized the Minister of Finance, in order 
to encourage the making of loans in small or remote communities, to enter into contracts 
with approved lending institutions providing for the payment by the Dominion of inspection 
fees not exceeding $20 and expenses for each necessary inspection trip, in connection with 
loans not exceeding Four Thousand Dollars. Pursuant to this authority, provisions have 
been incorporated in the agreements between the Minister and the lending institutions for 
the payment of fees as follows: (1) $10 plus travelling expenses for each loan for the con- 
struction of a home in any locality which is not part of a city of 50,000 inhabitants or more 
(1931 census), nor part of nor contiguous to a metropolitan area in which the lending 
company has either its head office or an established lending office ; (2) $20 for each loan where 
the house to be constructed is situated more than 25 miles from the centre of the main 
business district of a city of 50,000 inhabitants or more (as reported in the 1931 census) 
and more than 25 miles from the head office and each established lending office of the 
company; (3) $20 for each loan where the home to be constructed is situated more than 
50 miles from the centre of the main business district of a city of 50,000 inhabitants or more 
(1931 census) and more than 50 miles from the head office and each established lending 
office of the Company, together with an allowance of six cents per mile for each necessary 
inspection trip. 

The following amounts were paid to lending institutions during the fiscal year: Canada 
Life Assurance Company, $1,003.20; Canada Permanent Mortgage Corporation, $1,236.84; 
Confederation Life Association, $20; Equitable Life Insurance Company, $250; Grey and 
Bruce Trust and Savings Company, $70; London Life Insurance Company, $4,586.32; London 
and Western Trusts Company, $225.18; Manufacturers Life Assurance Company, $909.92; 
Mutual Life Assurance Company, $3,794.46; North American Life Assurance Company, $20; 
Ontario Loan and Debenture Company, $1,086.56; Sun Life Assurance Company, $6 490.39. 

Tax Payments — National Housing Act, c. 49, 1938 $ 171,719 37 



Comments on Expenditures 

Section 22, Part III, of the National Housing Act authorized the Minister of Finance 
to pay the municipal taxes on houses valued at not more than Four Thousand Dollars 
which were constructed during the period commencing June 1, 1938, and ending on 
December 31, 1940, or on such earlier date as might be set by the Governor in Council, 
on the following basis: 

(i) One hundred per centum of municipal taxes in respect of such houses for the first 
tax year in which the municipality levies municipal taxes in respect of such houses; 

(ii) fifty per centum of municipal taxes in respect of such houses for the second tax 
year in which the municipality levies municipal taxes in respect of such houses; 

(iii) twenty-five per centum of municipal taxes in respect of such houses for the third 
tax year in which the municipality levies municipal taxes in respect of such houses. 



DEPARTMENT OF FINANCE 51 

By P.C. 4021 of December 5, 1039, payments wen restricted to taxes on housei 
cons! ruction of which was commenced before May 31, 1940 

Expenditures, summarized by provinces, were as follows: Nova Scotia, $3,326.05; 
Brunswick. $217.78; Prince Edward [aland, $32.56; Quebec $1,277j65; On aio, $72,51 
Manitoba, $8,08951 ; Saskatchewan, $2,173 10; Alb rta, $13,34127; British Columbia 

Payment of loss claim* in fulfilment of guarantees of Home Improvement 
Loans — Home Improvement Loans Guarantee Art, c. 11, 
1937 $ 121,157 62 



Comments on Expenditures 

The Home Improvement Loans Guarantee Act provided for the reimbursement of 
approved lending institutions for losses sustained on defaulted Home Improvement Loans, 
on condition thai such re-imbursement should not exceed fifteen per centum of thi 
amount of Home Improvement Loans made by any such approved lending institution. 

In accordance with the provisions of this Act. payments were made to the following 
lending institutions: Banque Canadienne Nationale, $19,875.96; Canadian Bank of Com- 

SIS.971.7S; Dominion Bank, $3,707.01 ; G. S. W. Acceptance Co. Ltd., $124.38 
Gurney Finance Ltd., S5.235.36; Heating and Plumbing Finance Co. Ltd., 819,956.69 
Imperial Bank. S9.751.41; Bank of Montreal, 316,595.26; Bank of Nova Scotia. $11,471.30 
Royal Bank, S19.586.73; Bank of Toronto. S834.69; and miscellaneous, $96.20. Amounts 
totalling S6.632.61 were subsequently received from defaulting debtors, of which $5,049.15 
was credited to this appropriation and $1,583.46 to Interest on Investments. 

Old Age Pensions (including Pensions to the Blind) 

Vote 50 Old Age Pensions, including Pensions to the Blind, Adminis- 
tration 42,320 00 

Expenditures 36,346 68 

Lapsed $ 5,973 32 

Estimates Allotments 

details authorized Expenditures 

A Salaries 22.320 00 22.986 96 22,986 96 

B Travelling Expenses 10,000 00 10,000 00 S.258 20 

C Medical Examination in connection with 

Pensions for the Blind — Ophthalmologists' 

Fees 8,000 00 7,333 04 1 . 140 00 

D Sundries 2.000 00 2,000 00 661 52 



S 42,320 00 S 12,320 00 S 36.346 6S 



Comments on Expenditures 

The vote was provided to cover the administration expenses of the Old 
Act c. 156 R.S. and amendments, including ci camming provincial records of pi I 

paid to blind and aged and of opthalmologists' fees in connection with \ »r the 

blind. 

I As of March 31. 1942. there were 11 employees paid from this votx . The following 
receiving annual salaries of 82,400 or over on that date: .1. W. MacFarlam V. D. 

McElary, S2,460; E. II. s-.\ tt< aham, $2,580. 

B The following n travelling i C. Dube, si7p:;> ; 

I. Girardin, S437.90; V. I). McElary, S1.306.S3; L. Mi 2 3; 1. K 

I353.3S; J. L. Perrier, $1,35559; J. 8. Sutherland. J 

C This allotment was provided to pay for ophthalmolog - in connection with the 

mination of a] ns for the blind at $5 per examination. 



92 AUDITOR GENERAL'S REPORT 

Payment of Dominion' s share of pensions — Old Age Pensions Act, c. 156, 

R.S. and Amendments $29,611,796 15 



Comments on Expenditures 

The number of Old Age Pensions in force on March 31, 1942, was 185,922 compared 
with 185,946 on March 31, 1941, a decrease of 24. The amounts paid to the Provinces 
during the year, being 75 per cent of the provincial disbursements, totalled $28,530,907.52, 
which was a decrease of $371,025.23, as compared with the expenditure of 1940-41. The 
following is a classification of the expenditures by provinces: Nova Scotia, $1,936,831.62; 
Prince Edward Island, $200,171.11; New Brunswick, $1,559,883.08; Quebec, $6,762,038.15; 
Ontario, $9,772,690.43; Manitoba, $2,087,719.03; Saskatchewan, $2,009,282.60; Alberta, $1,797,- 
083.27; British Columbia, $2,403,312.55; Northwest Territories, $1,895.68. 

The amount paid on the same basis on account of Pensions to the Blind was $1,080,888.63, 
being an increase of $71,121.70 over the corresponding amount of $1,009,766.93 for the pre- 
ceding year. The number of pensions to the blind in force on March 31, 1942, was 6,243 
compared with 5,913 on March 31, 1941, an increase of 330. The following is a summary 
of the expenditures, classified by provinces: Nova Scotia, $105,970.09; Prince Edward Island, 
$14,071.95; New Brunswick, $128,292.16; Quebec, $365,525.53; Ontario, $264,006.67; Manitoba, 
$56,228.04; Saskatchewan, $54,850.39; Alberta, $36,780.14; British Columbia, $55,163.66. 

Superannuation, Retirement Benefits and Sundry Pensions 
Superannuation and Retirement Benefits 

Vote 51 Superannuation and Retirement Acts — Administration 31,370 00 

Vote 67 Salaries, reclassifications and increases, supplement 15,663 46 

Vote 420 Cost of living bonus, supplement 3,046 55 



50,080 01 
Expenditures 50,079 77 



Lapsed $ 24 



Estimates Allotments 

details authorized Expenditures 

A Salaries 29,370 00 48,080 01 48,080 01 

B Sundries 2,000 00 2,000 00 1,999 76 



$ 31,370 00 $ 50,080 01 $ 50,079 77 



Comments on Expenditures 

This vote was provided for the expenses of administering the Civil Service Superannua- 
tion and Retirement Acts, c. 4, 1870, and c. 12, 1893; the Public Service Retirement Act, 
c. 67, 1920; the Civil Service Superannuation Act, c. 69, 1924; the Civil Servants' Widows' 
Annuities Act, c. 74, 1927, and amendments. 

A As of March 31, 1942, there were 53 employees paid from this vote. The following was 
receiving an annual salary of $2,400 or over on that date: G. L. Gullock, $4,140. 

Vote 52 Government's contribution to the Superannuation Fund 2,365,000 00 

Expenditures 2,347,225 53 

Lapsed $ 17,774 47 

Comments on Expenditures 

This payment represents an amount equal to the current contributions to this Fund 
of civil service employees in 1940-41. 






DEPARTMENT OF FIN A NCI. 93 

Vote 53 Retiring Allowances to former employees of the Department 

of Public Printing and Stationery 2. 500 00 

Expenditure* 1,785 *)(> 



Lapsed $ 714 04 



Comments on Expenditures 

Payment of retiring allowances as authorized by P.C. 2146 of October 22, 1919. 

Superannuation allowances — CMl Service Superannuation and Retirement 

Ads, c. 4, 1870, and c. 12, 1893 S 156,416 55 



Retirement allowance* — Public Service Retirement Act, c. 67, 1920 $ 187,510 84 



Widows' Annuities — Civil Servants' Widows' Annuities Act, c. 74, 1927. .$ 89,304 69 



Gratuities to families of deceased employees — Civil Service Act, c. 22, 

R.S $ 1,750 00 



Public Debt Charges 

Interest on Public Debt — Consolidated Revenue and Audit Act, c. 27, 

1931 $155,017,900 66 

Funded Debt (including Treasury Bills) 

Payable in Canada 119,895,181 65 

Payable in London 3,965,106 45 

Payable in New York 18,000,037 53 

Other Liabilities 13,157,575 03 



$155,017,900 66 



Comments on Expenditures 

Interest on funded debt payable in Canada included payments as follows: Treasury 
bills, SI. 377.645.55; School Lands Debenture Stock: Alberta, $382,582.76; Saskatchewan, 
$712,361.56; Manitoba. S236.794.50. 5% Refunding Loan 1923-43. S7 ,350,005; 4\% Refunding 
Loan 1924-44. S2,250.000; 4£% Refunding Loan 1926-46, S2.025,000; 4% Refunding Loan 
1933-45. $3,533,500; 3% Refunding Loan 1934-42, $1,212,270; 3i% Refunding Loan 1934-49, 
S4.S! 1.270; _>:' , Refunding Loan 1937-44, S500,000; 3i% Refunding Loan 1937-51. SI. 950 .000 .02; 
4l r ; Conversion Loan 1931-56, $1,940,656.50; 4£% Conversion Loan 1931-57, $1,688,544; I 
Conversion Loan 1931-58. S12,450,942; 4i% Conversion Loan 1931-59. S13.O36.19S.50; 2</< 
Conversion Loan 1937-42, S1,49S,805; 3.}% Conversion Loan 1937-49, S1.0SS.750; 5% National 
Service Loan 1931-41, S4,S65,566.67 ; ¥/< Loan 1932-52, S2.247.010; 2' ' , Loau 1935-43, S500.000; 
3% Loan 1935-55 (June 1). SI. 200,000; %°f< Loan 1935-55 (Nov. 15). 81.650.000; 3 I ' 
1936-66. Sl.777.si7.;, j; 2 f '< Loan 1938-44, $1,812,500; 3% Loan 1938/39-58, $2,646,000; 
Loan 1939-42, $1,842,953.75; 2% Notes 1939-41, S4.000.000; 195 Notes L94*M1, $1,250,000; 
otea 1941-42. SI. 250.000; l\% Notes 1941-43, S3.626.712.01; 3*# Fust War Loan 1940, 
$8,125,415.75; 3', Second War Loan. 1940, S9.74S.371; 2< '< Loan 1940-45. S2,100,000; 3% 
1' tual Loan 1936, SI. 650,000; 2% Victory Loan 1941-46. $1,921,872.66] :',' \ Victory !. 
1941-51, $9,604,976 ss. 

In accordance with the practice instituted on April 1. 1940. of charging all pay 
in sterling or United States funds to the appropriation at the current exchange value :• 
of at par as was the practice in previous years, interesl payabli in New York included 
premium at 11 per cent. Similarly, interest payable in London was charged a; $4.47. 

Interesl on funded debt payable in London was charged at Loan 

1897-1917. SS2.477.liO; 3*# Loan 1950-55. S1.332.7S0.S7 ; !' Loan 1953-58, $1,548,280.35; 3 1 /; 
Loan 1958-63. SI. 00 1,567. 33. 

Interest on funded debt payable in New York, including premium at 11 per cent, 
charged as follows: 595 Loan 1922-52. S5.550.000; 4# Loan 1930-60. S4.440.000; 2\ r ,'c Loan 



94 AUDITOR GENERAL'S REPORT 

1935-45, $2,109,000; 3£% Loan 1936-61. $1,731,600; 2{% Loan 1937-44, $749,250; 3% Loan 
1937-67,' $1,831,500; 3% Loan 1938-68, $1,332,000; 11% Notes 1939-41, $69,375; 2\% Notes 
1941-43, $187,312.53. 

Interest on other liabilities included: Post Office Savings Bank, 2%, $423,762.13; Bank 
Circulation Redemption Fund, 3%, $144,254.01; Dominion Stock, Issue B, 3i%, $173.03; 
Compensation to Seignieurs, 6%, $439.41 ; Burrard Dry Dock Pontoons Replacement Fund, 
3%, $1,482.47; Contractors Security Account, 2%, $116,110.48; Government Officers' Guarantee 
Fund. 2-h%, $4,625.04; Indian Trust Funds. 5% and 6%, $731,604.93; King George V Silver 
Jubilee Cancer Fund for Canada, 3%, $13,710; Land Assurance Fund, 3%, $517.73; National 
Harbours Board No. 2 Account, 2%, $1,233.06; National Harbours Board No. 3 Account, 
29c, $10,493.50; Pilots' Pension Funds, 3%: Halifax, $226.93; Sydney, $240.85; Saint John, 
$113.17; Montreal, $263.24; British Columbia, $96.63; R.C.M.P. Benefit Trust Fund, 2%, 
$507.47; Strathcona Trust Fund, 4%, $20,000; Common School Fund, 5%: Ontario, $72,852.09; 
Quebec, $61,018.31; Deferred Pay Fund, 3%: Army, $23,806.83; Air, $3,496.46; Civil Service 
Insurance Fund, 6%, $854,006.27; Civil Service Superannuation Fund No. 5, 4%, $2,408,586.63; 
Government Annuities, 4%, $6,373,931.62; Returned Soldiers Insurance Fund, 4%, $786,- 
755.92; R.C.M.P. Dependents' Pension Fund, 4%, $7,349.06; Retirement Fund, 4%, $442,- 
766.29; War Savings Certificates, $653,151.47. 

Annual Amortization of Bond Discount, Premiums and Commissions — 

Consolidated Revenue and Audit Act, c, 27, 1931 $10,981,591 08 



Comments on Expenditures 

This amount represents the amount of Bond discount, premiums and commissions on 
loans issued since 1930 applicable to the fiscal year 1941-42 which was credited to Discount 
Amortization Account and charged to the expenditures of the year. The following is a 
statement of the charges. Loans payable in Canada: 5% National Service Loan 1931-41, 
$161,791.69; 4% Conversion Loan 1931, $106,131.74; 4% Loan 1932-52, $199,701.66; 4% 
Refunding Loan 1933-45, $315,544.92; 3% Refunding Loan 1934-42, $171,116.08; Z\% Refunding 
Loan 1934-49, $402,475.45; 2£% Loan 1935-43, $21,875; 3% Loan 1935-55 (June 1), $45,000; 
3% Loan 1935-55 (Nov. 15), $54,991; 31% Conversion Loan 1936-66, $45,031.86; 3% Perpetual 
Loan 1936, $77,866.66; 2% Conversion Loan 1937-42, $510,000; 3i% Conversion Loan 1937-49, 
$111,629.23; 2\°fc Refunding Loan 1937-44, $53,571.43; 3£% Refunding Loan 1937-51, $75,000; 
2% Loan 1938-44, $196,901.04; 3% Loan 1938-58, $48,330; H% Loan 1939-42, $392,796.48; 
3% Loan 1939-58, $46,946.59; 3i% First War Loan 1940-48/52, $264,399.22; 2% Loan 1940-45, 
$135,526.32; 3% Second War Loan 1940-42, $544,882.19; H% Notes 1941-43, $309,206.90; 
li% Notes 1941-44, $223,055.55; 2% Victoiy Loan 1941-46, $562,137.95; 3% Victory Loan 
1941-51, $10,468.99; Second Victory Loan 1942, $252,068.63. Loans payahle in London: 3*% 
Loan 1950-55, $1,718,726.80; 4% Loan 1953-58, $883,253.16; 31% Loan 1958-63, $1,157,528.01. 
Loans payable in New York: 4% Loan 1940-60, $211,800; 2\% Loan 1935-45, $304,000; 
3i% Loan 1936-61, $117,888; 21% Loan 1937-44, $75,000; 3% Loan 1937-67, $73,333.33; 3% 
Loan 1938-68, $63,333.33; 1£% Twenty Seven Months Notes 1939-41, $1,851.86. 

Servicing of Public Debt — 

Redemption and Transfer of Bonds — Consolidated Revenue and 

Audit Act, c. 27, 1931 $ 163,866 74 



Comments on Expenditures 

Expenditures for Servicing of Public Debt, in addition to those charged to Vote 55 
totalled $163,866.74 and included the following: Bank of Montreal, London, England, stamp 
duty on transferred stock 1953-58 loan, $3,317.31; 1950-55 loan, $1,290.15; 1958-63 loan, 
$1,965.13; commission for the redemption of matured or called bonds, 1953-58 loan, $73,531.49; 
1950-55 loan, $47,326.12; 1958-63 loan, $33,525.02; 1947 loan, $1,944.45. 

Vote 55 Servicing of Public Debt — Commission for payment of interest 
on public debt, Services of Fiscal Agents, London, English 

bill stamps, Registrars 9 Fees, etc 165,100 00 

Expenditures 116,409 06 

Lapsed $ 48,690 94 



DEPARTMENT OF FIN AN C I 95 

1-Miii, Allotments 

details authorised Expenditures 

A Services of fiscal agents, London, England.. 24,200 00 24,200 00 19,811 17 
It Commission for paymenl of coupon and 

fully registered interest 125,000 00 1 25.000 00 90,713 07 

('■ I ing as registrar 5,600 00 5.000 00 •>! 01 

I) English bill .-tamps, postage, etc 2,300 00 2,300 00 1,384 64 

E Sundries s ,000 00 8,000 00 510 17 



S 165,100 00 S 165,100 00 $ 116.409 06 



Comments on Expenditures 

A This amount was comprised of payments to the Bank of Montreal, London, England, 
for services as fiscal agenl of the I dominion for the year ended December 31, 1941 
of £150 per million of sterling debt, as authorized by P.C. 3157 of October 4, 1935. 

K Payments for commission for cashing coupon and fully registered interesi cheques were 
as follows: sundry chartered hanks in Canada, 873,970.26; sundry banks, New York 
$16,733 .SI. 

C This amount consisted of payments to the Bank of Montreal, New York, for fees for 
acting as Registrar of New York issues. 

Loan Flotation Charges — Consolidated Revenue and Audit Act, c. 27, 

1931 $5,367,926 19 



Comments on Expenditures 

Loan flotation charges, excluding discounts and commissions, amounted to $5,367,926.19 
and were charged as follows: — 

A 3% Second War Loan, October 1, 1940-49/52 5,651 15 

B 1% Notes, May 1, 1941-42 208 66 

C li% Notes, October 16, 1941-44 408 24 

D 2) r /c New York Notes, May 1, 1941-43 69 34 

E 2 and 3% 1941 Victory Loan, 1941-46/51 2,209,614 6S 

F li, 2^ and 3% Second Victory Loan, 1942-44/48/54 1.891,323 78 

G War Sayings Certificates and stamps 1,256.513 12 

H Non-Interest Bearing Certificates 3,516 63 

I Treasury Bills 620 59 



$5,367,926 19 



A Expenditures on account of the Second War Loan consisted of payments to the Bank of 
Canada and the King's Printer and were classified as follows: advertising, $2,498.16; 
express, $1,973.05; postage, $982.42; printing and stationery, S161.25; sundries, $36.27. 

B These charges consisted of payments to the British American Bank Note Company for 
engraving and furnishing notes. 

C Expenditures, incurred on account of the 1941-44 V>% Notes, were comprised of pay- 
ments to the British American Bank Note Company for engraving and furnishing notes. 

D This amount included travelling expenses of J. G. Macfarlane, S07.21. 

E Expenses in connection with the 1941 Victory Loan totalling S2.241. 204.08 were incurred 
by the Dominion Executive Committee of the 1941 Victory Loan under the authoi 
regulations approved by the Minister of Finance pursuant to the provisions of P.C. 2247 
of April 1, 1941. The following is a classification of the expenditures: salaries. $149,88 
travelling expenses. $285,347.87; postage and express, 851,335.18; communication Ben 
$76,407.71 ; rental of equipment. S7.631.97; stationery, printing and office supplies, $160,775 92 : 
rental of office accommodation, S29.006.77; light, heat and janitor service, S8.362.23; enter- 
tainment. S35,599.80; preparation and distribution of bonds. 8372,170.90; publicity, 
$1,064.6S5.56, of which S4S3,332.31 was for press advertising; $87,370.70 for radio; $79,565.83 
for posters and bill boards; S10S.405.01 for literature and miscellaneous items; S56.371.61 



96 AUDITOR GENERAL'S REPORT 

for Honour Program expenses; $28,006.58 for motion pictures, $22,232.99 for letters to bank 
depositors; $4,556.72 for street car cards; $3,737.39 for Torch Program expenses; $31,009.55 
for distributing material including mailing and express; and $160,096.87 for provincial 
committee publicity expenses. An amount of $31,589.40 representing profits on Bond Trading 
account was credited against these expenditures, resulting in a net charge of $2,209,614.68. 

Additional expenditures on account of the 1941 Victory Loan totalling $17,129,345.33 
were charged to Discount Amortization Account to be written off annually over the period 
of the loan. Of the total. $1,551,983.78 represented amounts paid as commissions to can- 
for bonds of the 1946 maturity and \% for bonds of the 1951 maturity sold 
to persons where names were not included on the pooled or "special names" list; $2,036,- 
229.72, remuneration to banks, trust and loan companies; and $3,327,900 remuneration to 
dealers and brokers as authorized by P.C. 9722 of December 11, 1941. The balance of 
$10,213,231.83 consisted of premiums and discounts allowed on the issue and maturity 
prices of the loans. 

F P.C. 45 of January 7, 1942, as amended by P.C. 176 of January 9, 1942, approved the 
establishment of the National War Finance Committee to arrange, promote and conduct 
(a) the sale of the bonds of the Second Victory Loan and of such other Victory or War 
Loans as might from time to time be authorized; (b) the sale of War Savings Certificates 
and (c) campaigns designed to stimulate systematic savings and investment by the public 
in public issues of Dominion obligations. Section 1 (b) of the order as amended provided 
that regulations governing the proceedings of the National War Finance Committee and 
the committees thereof might be made from time to time by the chairman with the 
approval of the Minister of Finance. Under the provisions of this section, regulations 
were approved by the Minister of Finance on February 26, 1942. Loan flotation charges 
in connection with the issue of the Second Victory Loan totalling $1,896,990.12 were 
incurred under these authorities, and were classified as follows: salaries, $204,117.13; travelling 
expenses, $296,489.57; postage and express, $47,913.76; communication services, $80,899.12; 
stationery, printing and equipment, $108,906.84; office rental, light, heat and janitor services, 
$52,182.55; expenses of organization, $43,392.68; printing of bonds, $317,967.97; advertising 
and publicity, $745,120.50. An amount of $5,666.34 representing profits on Bond Trading 
Account was credited against these expenditures resulting in a net charge of $1,891,406.15. 
In addition to the above, expenditures totalling $3,355,937.03 were charged to Discount 
Amortization Account. Of this amount, $1,654,381.58 represented commissions paid to 
salesmen at |% for bonds of the 1954 maturity and |% for bonds of the 1948 maturity; 
and $1,379,200 remuneration to brokers and dealers as authorized by P.C. 672 of January 27, 
1942. The balance of $322,355.45 represented premiums payable at maturity on the 1954 loan. 

G By P.C. 2184 of May 24, 1940, the Covernor in Council approved the establishment of 
the War Savings Committee to promote the sale of War Savings Certificates and Stamps 
and authorized the payment from Consolidated Revenue Fund of such expenses of the 
committee as were approved by the Minister of Finance. The Bank of Canada, as fiscal 
agent of the government, undertook to issue and record certificates, provide assistance 
and lend equipment to the committee, and assumed the responsibility for making all 
expenditures on its behalf. From April 1, 1941, to December 31, 1941, the greater part of 
the expenditures in connection with the War Savings Campaign were incurred by the Com- 
mittee, and payments made by the Bank on its account were recovered from the Minister 
of Finance. 

P.C. 45 of January 7, 1942, as amended, dissolved the War Savings Committee and 
established the National War Finance Committee to promote the sale of bonds and, as 
from January 1, 1942, the sale of War Savings Certificates and Stamps. Expenditures 
incurred by the Committee were in accordance with the provisions of the regulations 
approved by the Minister of Finance pursuant to clause 1 (b) of P.C. 45 as amended. 

The total charges on account of War Savings Certificates and Stamps were $1,256,513.12 
and were classified as follows: salaries, $53,393.17; travelling expenses, $63,048.22; postage 
and express, $10,521.25; communication services, $13,471.87; stationery, printing and equip- 
ment. $22,339.41; office rental, light, heat and janitor service, $24,574.38; printing of certifi- 
cates and stamps, $67,631.25; stamp losses, $1,025.75; advertising and publicity, $982,736.89; 
accountable advances, $1,355.29; sundry expenses, $16,415.64. 

As of March 31, 1942, there were 112 employees whose salaries were charged to Cost 
of Loan Flotation. The following were receiving salaries of $2,400 or over on that date: 
S. W. Bartlett, $5,000; S. L. Bedson, $2,400; H. A. Benham, $2,700; R. R. Brough, $3,600; 
A. B. Brown, $3,600; G. M. Burn, $3,300; B. Cody, $3,600; A. C. Comtois, $3,000; 



DEPARTMENT OF FINANCE 97 

H. M. Dennehy, 13,900; II. Desaulniers, $3,000; R. J. Dooner, S3.C00; R. J. Dunlevy 
14,000; R. 1'. Eaton, 13,000; R. Guilmette, 13,000; E. R. Hanna, $4,500; W. B. B 
$3,000; R. G. Loughlin, $3,800 ; C. B. McKee, $4,800; J. II. Neff, $3,600; 8. E. Nixon, $6,000 
J. R. Racine, $3,000; J). Robertson, $7,500; L. C. Saneouci, $3,000; J. M. Skead, $2,820 
R. Spilsted, S3 ,000; G. N. Stacey, $3,000; J. I 2,400; \Y. II. A. Thorburn, I 

J. W. T. Torrance, $3,000; II. Turgi on, $3,000; B. Turnbull, S4.000; P. C. Walters, S2,700 
W. A. Womersley, $3,000; R. Woodbridge, $2,820. 

Jl Expenditures on account of (Ton-Interest Bearing Certificates included payments to the 
King's Printer for printing and finishing certificates, and to the Bank of Canada for postage 
and sundry printing and stationery. 

I This amount, incurred in respect of Treasury Bills, included payments to the Canadian 
Bank Note Company for furnishing bills, and to the King's Printer for printing prospectuses. 

Audit Notes 

Lossi - of War Savings Stamps were recouped to the liability account by charging the 
amount of such losses to the statutory appropriation for loan flotations. The use of this 
authority for covering losses being irregular, a correct practice for making loss adjustments 
stablished by Order in Council (P.C. 11—7359, Aug. 19, 1942). 

Payments for publicity include, in addition to the amounts paid to publications and 
c> t lit r advertising media, discounts allowed to or commissions added by the agencies on 
(publications space, preparatory work, and radio line and station charges, including those 
billed by the Canadian Broadcasting Corporation. These discounts and commissions were 
seldom less than 15 per cent. 

Accountable advances totalling SI. 355 .29 charged to the 1941-42 accounts were out- 
standing at the close of the fiscal year. 



Subsidies and Special Grants to Provinces 
Subsidies to Provinces 

Subsidies to Provinces — British North America Act 

Nova Scotia 701,322 80 

Prince Edward Island 381,931 88 

New Brunswick 729.166 56 

Quebec 2,859.244 68 

Ontario 3,136,393 68 

Manitoba 1,713,284 18 

Saskatchewan 2,132.175 00 

Alberta 1,788,589 40 

British Columbia 966,513 46 



$14,408,621 64 



Comments on Expenditures 

Subsidies to Provinces include allowances for government and legislature, allowances 
per head of population for local purposes, interest on debt allowances, and special subsidy 
grants which are paid to all provinces except Nova Scotia, Ontario and Quebec. Allowances 
for government and local purposes are paid on the basis of population as follows: On 
population under 150.000, S100.000; on population of 150.000 to 200,000, S150.000; on popula- 
tion of 200,000 to 400,000. 8180,000; on population of 400,000 to 800.000, $190,000; on 
population of 800,000 to 1,500,000, S220.000; on population over 1,500.000, S240.000. Allowances 
per head of population are paid to each province at the rate of 80 cents per head of the 
population up to the number of 2.500.000 and at the rate of 60 cents per head of so much 
of the population as exceeds that number. The population is ascertained by the last 
decennial census, except in the cases of the Provinces of Manitoba, Saskatchewan and Alberta, 
where the population is determined by the last quinquennial census or the last statutory' 
estimate of population. Allowances during 1941-42 were paid on the basis of the 1941 
decennial census. By special statutory authority, subsidies to the Province of Prince Edward 
59727—8 



98 AUDITOR GENERAL'S REPORT 

Island arc not affected by a decrease in population. Interest is paid to each province at 
the rate of 5 per cent per annum on the amount of the deficiency between the actual provincial 
debt assumed by the Dominion and the debt allowance. 

Special grants are paid as follows: Prince Edward Island, $155,879.90; New Brunswick, 
S150.000; Manitoba, $562,500; Saskatchewan, $750,000; Alberta, $562,500; British Columbia, 
$100,000. 

Expenditures are reported in detail in the Public Accounts. 

Vote 476 Compensation to provinces — Compensation to provinces which 
agree to vacate the personal income and corporation tax 
fields for the duration of the war, the annual amount 
thereof being computed in accordance with and subject 
to the terms and conditions of agreements approved by 
the Governor in Council and entered into with such prov- 
inces by His Majesty the King in the right of Canada repre- 
sented by the Minister of Finance and on a basis which 
will produce substantially the equivalent of either — - 

(a) The revenues which the province and its municipalities 
obtained from these sources during the fiscal year 
ending nearest to December 31, 1940, less the amounts 
collected after the close of such fiscal year by the 
province and its municipalities in respect of personal 
income and corporation taxes levied upon incomes of 
1940 or prior years or based upon the status or opera- 
tions of the taxpayer in 1940 or prior years; or 

(b) The net debt service paid by the province during the 
fiscal year ending nearest to December 31, 1940 (not 
including contributions to sinking funds) less the 
revenue obtained from succession duties during that 
period and less the amounts collected after the close 
of such fiscal year by the province and its municipali- 
ties in respect of personal income and corporation 
taxes levied upon incomes of 1940 or prior years or 
based upon the status or operations of the taxpayer 
in 1940 or prior years 

and for the payment of fiscal need subsidies to such of said 
provinces as enter into such agreements and can demon- 
strate to the satisfaction of the Governor in Council that 
these are necessary: 

an amount not exceeding 45,000,000 00 

Expenditures 21,120,443 32 

Lapsed $23,879,556 68 



Comments on Expenditures 

In accordance with the provisions of the vote as set forth above, and with the approval 
of the Governor in Council, the Minister of Finance, representing His Majesty the King 
in the right of Canada, entered into agreements with the provinces whereby the latter 
agreed to vacate the personal income and corporation tax fields for the duration of the 
war; the provinces being paid an annual amount for compensation, calculated according 
to the terms of the vote. 

During the fiscal year, eight provinces executed agreements with the Dominion pur- 
suant to the provisions of special provincial enabling legislation. The ninth province, Quebec, 
executed a similar agreement in May. 1942. The agreements set forth, inter alia, the amount 
of the annual payments to be made by the Dominion with the proviso that from the sums 
payable by the Dominion each year there should be deducted the amount of any income 
and corporation taxes collected by the provinces and its municipalities during the term 
of the agreements to certain specified amounts. 



DEPARTMENT OF FINANCE 



99 



The annual amounts fixed by the terms of the agreements, th< mount dui 

March 31, 1942, the amount of deductions in respect of collections by the provinci 
iht in t payments during the fiscal year were as follows: — 



( iross 
Province annual 
payments 

Nova Scotia 2,911,078 03 

Prmcr Edward Island 701,943 96 

New Brunswick 3.650.067 45 

Quebec 20,586.074 56 

Ontario 2S.964,039 54 

Manitoba . .' 5,654,740 92 

Saskatchewan 5,830,47129 

Alh.rta 4,080^60 64 

British Columbia 12.048,367 51 





I )educl ions 




Grc 


for 1 




paymi q1 - 


collected by 


\cf 


applicable 


Provinces and 


annual 


to 1941-42 


Municipalities 
1,611.078 03 


payments 


2,911,078 03 


1,300.000 00 


912,527 15 


223.024 95 


689,502 20 


4,562,584 31 


2,450,067 45 


2,112,516 86 


2.896,403 95 




2^96 103 95 


4,241,055 69 


1,934.587 85 


2.306,467 84 


4.372,853 46 


1,485,395 35 


2.887.458 11 


4,080,860 64 


2,024,948 77 


2,055,911 87 


12,048,367 51 


5,176. 1S5 02 


6372,182 49 



884,427,643 90 S36.025,730 74 814.905.287 42 S2 1,1 20,443 32 



Audit Note 

Additional payments to the Provinces of Manitoba and British Columbia, applicable 
to the fiscal year 1941-42, amounting to $839,477.94 and 81,686,709.03, respectively, were made 
in 1942-43 to effect adjustments in respect of the deductions for taxes collected by the 
provinces. The deductions on which the net compensation payments were based were 
SI. 034.587.85 for Manitoba and So. 176. 185.02 for British Columbia, whereas the correct 
amounts were SI. .095,109.91 and $3,489,475.99. 



Miscellaneous Grants and Contributions 

Vote 57 Canadian General Council of the Boy Scouts $ 9,000 00 

Vote 58 Dominion Council of the Girl Guides $ 4,860 00 

Vote 59 Royal Astronomical Society $ 1,620 00 

Vote 60 Royal Canadian Academy of Arts $ 2,025 00 

Vote 61 Royal Society of Canada $ 4,500 00 

Vote 62 Report on cultural conditions in Canada (literature, art, drama. 

education, etc.) $ 2,500 00 



Vote 63 



Federal District Commission — Maintenance and improvement 
of grounds adjoining Government Buildings, Ottawa, and 
for improvements to the parkway system under the control 

of the Federal District Commission 133,500 00 

Expenditures 131,439 0) 

Lapsed $ 2,060 91 



Comments on Expenditures 

This amount was paid to the Federal District Commission. Th( and dis- 

bursements of the Commission in respect of this service have been audited pursuant to 
the provisions of Section 18 of the Federal District Commission Act. c .55. 
5972" 



10 o AUDITOR GENERAL'S REPORT 

Maintenance of parks, parkways and plant, Ottawa and vicinity under 
control of the Federal District Commission — Federal Dis- 
trict Commission Act, c. 55, 1927, and c. 26, 1928 $ 200,000 00 

Comments on Expenditures 

This amount was paid to the Federal District Commission. The receipts and disburse- 
ments of the Commission in respect of this service have been audited pursuant to the provi- 
sions of Section 18 of the Federal District Commission Act, c. 55, 1927. 

Grant to the Corporation of the City of Ottawa — Ottawa Agreement Act, 

c. 7, 1940-41 $ 100,000 00 



Comments on Expenditures 

On March 30, 1920, the Government and the Corporation of the City of Ottawa entered 
into an agreement providing for the payment to the Corporation of the sum of $75,000 
annually for a period of 5 years from July 1, 1919, in full satisfaction and discharge of all 
claims on the Government for water supplied for street sprinkling, for fire protection by 
the Corporation to any of the buildings or premises owned or occupied by the Government, 
and for use in Major's Hill Park and in other parks and driveways owned or maintained 
by the Ottawa Improvement Commission (now the Federal District Commission). 

The agreement was ratified by c. 15, 1920, and was renewed for a period of one year 
by c. 59, 1924. By c. 21, 1925, the annual payment was increased to $100,000 and the agree- 
ment was extended for 5 years. In 1931 and annually thereafter the agreement was extended 
for a further year, the present extension being authorized by c. 7, 1940-41. 

Grant to National Battlefields Commission — National Battlefields Com- 
mission Act, c. 57, 1908, and amendments 75,000 00 

Vote 420 Cost of living bonus, supplement 3,300 00 

78,300 00 
Expenditures $ 78,300 00 



Comments on Expenditures 

These sums were paid to the National Battlefields Commission. The amount of $75,000 
was the annual statutory grant to the Commission. The amount of $3,300 was allotted 
by Treasury Board to cover the payment of cost of living bonus to employees of the 
Commission. The receipts and disbursements in respect to these services have been audited 
pursuant to the provisions of Section 14 of the National Battlefields Commission Act, 
c. 57, 1908. 

General 

Vote 64 Tariff Board, including the Dominion Trade and Industry Com- 
mission 86,000 00 

Expenditures 57,612 32 

Lapsed $ 28,387 68 

Estimates Allotments 

details authorized Expenditures 

A Salaries 65,850 00 65.850 00 55,590 60 

B' Travelling Expenses 3,000 00 3,000 00 396 80 

C Telephones and Telegrams 2,000 00 2.000 00 107 48 

D Printing and Stationery 2,000 00 2,000 00 639 70 

E Reporting Service 2,000 00 2,000 00 189 00 

F Auditing Service 4,000 00 4,000 00 

G Dominion Trade and Industry Commission 3,000 00 3,000 00 

H Sundries 4,150 00 4,150 00 688 74 



$ 86,000 00 $ 86,000 00 $ 57,612 32 



DEPARTMENT OF FINANCE 101 

Commenta on Expenditure! 

This vote was provided for the expenses of administering the Tariff Board Act. c. 56, 
1931. as amended, including expenses of inquiries into the costs of raw materials, production, 
labour and prices, and condition- affecting cost and price in Canada. 

A As of March 31, 1012, there were 17 employees paid from this voti . The following wen 
receiving annual salaries of $2400 or over on that date: H. B. McKinnon, Chairman, 
$12,000; M. N. Campbell, Vice Chairman, $10,000; R. Cousineau, S3,000; J. C. Leslie, 
12,940; J. R. MacGregor, $6,000; P. G. Turner, $4,500. 

Vote 65 Expenses of the Comptroller of the Treasury's Office 2,040,457 00 

Vote 477 Further amount required 60,000 00 



$2,100,457 00 
Expenditures 2,044,621 80 



Lapsed $ 55,835 20 



Estimates Allotments 

details authorized Expenditures 

A Salaries 1,762,457 00 1,774,457 00 1,772,798 80 

B Travelling Expenses 25,000 00 25.000 00 15,715 92 

C Printing and Stationery' 75,000 00 122,000 00 120,953 99 

D Rent of Equipment 38,000 00 42,500 00 42,025 39 

E Sundries 15,000 00 15,000 00 11,740 74 

F Expenses in connection with the Unemploy- 
ment Insurance Act 185,000 00 121,500 00 81,386 96 



§2,100,457 00 82.100,457 00 $2,044,621 80 



Comments on Expenditures 

The vote was provided to defray the expenses of the Office of the Comptroller of the 
Treasury in carrying out the duties imposed by the Consolidated Revenue and Audit Act, 
c. 27, 1931, and including the issue of public moneys from the Consolidated Revenue Fund, 
the provision of accounting services for Government Departments, including the Unemploy- 
ment Insurance Commission, and other duties assigned by the Governor in Council. 

A As of March 31. 1942, there were 1,243 employees paid from this vote, including employees 
whose salaries were refunded by the National Harbours Board, and those whose salaries 
for a part of the fiscal year were charged to the War Appropriation and to Vote 112. The 
following were receiving annual salaries of $2,400 or over on that date, or at date of 
separation (shown in brackets): B. G. Mclntyrc, Comptroller of the Treasury, $9,000; 
A. T. Allen. $3,300; X. C. Allen. $4,980 (transferred to Department of National Defence 
Jan. 1); J. Anderson, S4.140; T. R.C.Anderson, $3,120; C. Aim era, $2,700; G. R. L. Ardouin, 
$3,120 (July 1); A. W. Bannard, $3,120; N. E. Beach, $2,940; J. R. L. Beaudoin, $2 
E. H. Berthe, S2.700; J. T. Bishop, S2,700; A. L. B 2,460; A. J. Bouthillier, $3,120 

E. J. Brindell, S2,S80; J. T. Brisson, S3,600; M. J. Brooks, S2,700; H. J. Brown. | 
C. H. Burns, $2,100; H. F. Calorcn, S3, 120; F. J. Cameron, S3. 120; H. G. Charlton, J 

J. A. Clark. $2,580; F. G. Coburn, $3,4S0; H. G. M. Cord - 12320; J. E. Couillard 
$3,600; J. H. Courtemanche, S2,700; H. C. Craig, $1.1 10; L. C 1,260; C. C. C: 

$2,S20; J. B. Cullen, $2,400; H. D. Currans, S2.400; D. J. Cuthill, $2,700; R. E. I 
$3,600; J. D. Dawson, S3,600; J. R. Dawson, $2,700; C. E. Deruchi (Apr. 23) 

F. W. Donkin, S4,200; B. C. Donnelly, S2,940; D. S. Dl 

M. E. Fagan, S2.400; W. B. Fairbairn, $2,880; B. A. Fauvel, $2,400; J. H. Fee, $2,701) 
F. G. Feron. S3.360; H. V. Flegg, $2,700; W. 600; A. V. Franklin. I 

J. A. Frascr, $3,120; E. L. Fro . 1'. !.. Gagnon, S3,240; G. A. Garland, 



102 AUDITOR GENERAL'S REPORT 

H. D. Gilman. $3,960; R. Golding, $3,000 (May 12, noon) ; H. M. Graham, $2,700; A. Gray, 
S3, ISO; W. J. Greenway, $4,140; N. O. Handegord, $2,400; E. W. Hawkins, $2,700; 
J. R. Hearnden, $2,400; H. H. Hester, $4,140; G. A. Hoare, $3,120; G. W. F. Hodgins, 
S3.600; J. O. Hodgkin, $5,700; F. W. Holmes, $2,700; J. E. W. Houghton, $3,060; 
W. H. Hutton, $2,700; H. A. Jarvis, $2,700; E. V. Jesshope, $3,120; N. A. Keating, $2,700; 
H. W. Kelley, $2,460; J. C. Kelley, $2,940; J. I. Kelly, $2,700; T. L. Killeen, $2,700 
(Feb. 1); J. A. Lacombe, $3,120; H. L. Lancaster, $3,120; J. P. Lane, $2,400; R. H. Lang, 
$4,260; E. T. Langdon, $4,980; A. Lapointe, $2,700; J. Larochelle, $2,700; J. A. R. 
Latendresse, $3,600; W. Lauchlan, $3,600; J. C. H. Legault, $2,700; J. A. Lemay, $4,140; 
J. H. Lemay, $2,400; J. M. Lomax, $3,600; C. E. Long, $2,700; F. M. MacLennan, $5,400; 
T. B. Mallace, $4,200; A. Marchand, $2,400; J. J. Marcoux, $3,000; C. P. Matheson, $2,700; 
W. J. Mattice, $3,120; W. McCarthy, $2,700; J. P. McCoy, $2,400; W. W. McCullough, 
$2,460; L. W. McCutcheon, $4,140; S. McDougall, $2,580; J. J. McGill, $4,140; S. H. 
McLaren, $4,440; E. K. McLatchie, $2,400 (Dec. 7) ; J. E. McMullen, $3,600; A. S. McPhail, 
$2,700; W. E. McQuarrie, $2,700; G. W. McRae, $3,120; S. L. Miller, $3,120; D. M. Minard, 
$4,980 (Apr. 7); G. B. Monk, $3,600; I. M. Morgan, $3,600; A. R. Morisset, $4,140 
(Dec. 23) ; R. L. Morton, $3,120; J. W. Myers, $3,480; P. V. Neville, $2,700; J. V. Noonan 
$2,400; W. J. O'Connor, $2,700; J. A. O'Dempsey, $2,400; F. E. O'Doherty, $2,400 
D. W. G. Oliver, $4,800; S. A. Payne, $2,700; W. J. Paynter, $2,700; E. C. Phillips, $2,580 
T. F. Phillips, $2,700; R. C. Playfair, $4,200; G. H. Pollard, $2,400; G. Powers, $2,400 
J. E. H. Pratte, $4,440; W. K. Rathwell, $3,000; H. B. Rayner, $3,600; W. Reed, $2,700 
T. H. Reilly, $2,460; S. V. Roberts, $4,980; C. R. Robertson, $2,400; J. R. Rolston, $2,460 
J. L. Roy, $3,420; E. A. Sawyer, $3,480; E. C. Scatcherd, $2,940; G. M. Shaver, $3,600 
H. Sloman, $4,800; J. Smith, $3,600; W. E. Smith, $2,700; H. L. Smithers, $3,360; A. E 
Smythe, $3,120; J. M. Somerville, $2,460; W. C. Spence, $2,700; G. M. Stanley, $2,400 
P. C. Stephenson, $3,600; J. Stevens, $4,620; T. N. Stokoe, $2,700; F. W. Stremes, $2,820 
W. A. Thornton, $2,700; R. Tremblay, $2,940; K. Turner, $3,120; L. S. Virr, $2,400 
C. V. Waldorf, $2,700; W. S. Walton, $2,460; R. V. Waters, $2,700; F. O. Weeks, $4,620 
J. W. Weir, $2,700; C. L. White, $4,800; H. J. White, $2,700; D. G. Whittle, $4,800 
T. G. Willis, $2,400; H. T. Wilson, $3,420; E. E. Wood, $4,620; F. E. Wood, $5,000 
W. J. Wood, $2,580; E. H. S. Woodside, $4,080; A. G. Woolsey, $2,640; G. F. Worden 
$3,120; A. D. Wymbs, $3,120; C. N. Yetts, $3,120. 

Two employees were receiving annual war duties supplements on March 31, as follows: 
K. Turner, $1,020; J. M. Wilkinson 



B The following received travelling expenses and living allowances in excess of $300: 
E. H. Berthe, $1,026.40; J. B. Caron, $477.15; H. G. Charlton, $463; D. H. Connor, $890.32; 
H. C. Craig, $2,367.38; B. A. Fauvel, $519.12; F. M. MacLennan, $342.02; G. M. McRae, 
SI, 390.32; W. K. Rathwell, $533.70; S. V. Roberts, $969.67; A. E. Smythe, $1,686; W. A. 
Thornton, $425.40; W. J. Tubman, $662.35; T. G. Willis, $762.36. 

D Expenditures under this allotment consisted of payments to International Business 
Machines, Ltd., for rental of business and accounting machines. 

F Expenses in connection with the provision of accounting services for the Unemployment 
Insurance Commission totalled $81,386.96 and were classified as follows: salaries, $48,350.21; 
travelling expenses, $4,925.65; printing and stationery, $23,528.79; rent of equipment, 
$2,808; sundries, $1,774.31. 

Salaries of those receiving $2,400 per annum or over on March 31, 1942, are shown 
under A above. 

The following received travelling expenses in excess of $300: C. H. Banks, $318.94; 
A. J. Bouthillier, $361.99; M. J. Burns, $435.07; H. F. Caloren, $837.97; S. H. McLaren, 
•$1,636.50. 

Vote 66 Farmers' Creditors Arrangement Act, 1934, and Municipal 

Improvements Assistance Act, 1938, Administration 261,000 00 

Expenditures 177,458 77 

Lapsed $ 83,541 23 



DEPARTMENT OF FINANCE 103 

Esl imates Allotments 

details authorial '1 Expendil 

A Salaries 70,000 00 70.000 00 53,827 06 

It Fees, Commissioners and Official Receivers. 83,000 00 76,000 00 55,535 08 

<: Travelling Expenses 37,000 00 37,000 00 21,600 51 

D Stationery and Equipmenl 9,000 00 9,000 00 4,378 13 

E Postage 15. 000 00 15,00000 8,17501 

V Rents 2,500 00 2,500 00 1,253 40 

(, Filing and Legal Costs 6,000 00 13,000 00 12,482 79 

II Telephone and Telegrams 2,000 00 2,000 00 1,01133 

1 Land appraisals 35,000 00 35,000 00 18,272 00 

J Sundries 1,500 00 1,500 00 



$ 261,000 00 $ 261,000 00 S 177,158 77 



Comments on Expenditures 

Expenditures In respeel to the administration of the Farmers' Creditors Arrangement 

Act, 1934, and the Municipal Assistance Act, 1938, totalled S177.458.77 in 1941-42. The 

following is a summary of the outlay classified by provinces: Head Office (including all costs 

of administering the Municipal Improvements Assistance Act), S13. 185.55; Quebec, S571.88; 

Ontario, $1659; Manitoba, $13,907; Saskatchewan, $92,892.29; Alberta, $49,285.91; British 

Columbia. $7,59955. 

A As of March 31, 1942, there were 32 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date, or at date; of separation (shown 
in brackets) : ('. W. Hoffman, S3.600; C. I. Keith, $3,000 (leave without pay from Nov. 1) ; 
H. Millican. S3.600; J. G. Olding, 83,000; C. A. Port, $3,000. 

B C By P.C. 1574 of April 19, 1940, a schedule of fees and allowances was authorized as 
of May 1, 1940, for members of Board of Review under the Farmers' Creditors Arrange- 
ment Act. Chief Commissioners, to whom no remuneration is payable under the Act, were 
granted a living allowance of $15 per day and actual railway expenses while away from 
home. Commissioners representing debtors and creditors were allowed remuneration for 
their services at the rate of $15 per day for each full day in which they were engaged on, 
or travelling in connection with duties pursuant to their appointment, and, in addition. 
as expense allowance of $7 per day, and actual railway expenses while away from home. 
Fees to Commissioners totalled $23,021.73 during the year. The following commissioners 
n c< ived fees in excess of $1,000: F. M. Borland. 83.662.50; H. B. Fraser, 81.950; Win. Hall, 
$3,697.50; F. H. Holmes, $3,300; T. A. McCusker, 83,562.50; C. Wilsoi 

Fees for Official Receivers, which amounted to $32,513.35. were paid on the following 
basis as approved by the Governor in Council:- (a) for composition completed without 
appeal to Board of Review, $30; (b) for composition determined by Board of 1! 
815: (c) for services a- trustee of farmer's estate made under the Bankruptcy Act, $30; 
((/) for duties assumed pertaining to cases referred to the Board by predi 
services on application of debtor for discharge where administration completed by farmer 
trustee, $10. The following Official Receiver.- received fees ii $1,000: A. Brehaut, 

37; J. M. Bright. $1,785; S. N. Davidson, $1,725; M. 1). nis, $1,280; .1. M. Gold 
$1,165; H. Mackay, 82.445; J. C. Marshall. $1,725; M. Stechishin, $1,800. 

C Expenditures charged to this allotment included living allowances r day and 

actual railway ex, authorised by P.C. 1574 of April 19. 1940, to the foil 

judges while acting as Chief Commissioners: Mr. Justice 1'. M. Anderson, $2,160.01 

f Justice J. T. Brown. 82.527.17; Mr. Justice A. 1. Fisher, $3.75; Mr. Justice J. I.. 
Qger, $40.00; Mr. Chief Justice C. R. Mitchell, $2,078; Mr. Jus 
32.50; Mr. Justice S. J. Shepherd, $319.15. 

Travelling ex] A living allowances in excess of $300 wire paid to the following 

commissi* rs and official receivers: F. M. Borland. 82.169.01; R. C. Brown. 

38; H. B. Fraser. S1.142.S5; Wm. Hall. 81.163.78; F. II. Bolmes, s2.223.30; T. A. 
McCusker, $1,169.22; H. Millican, 8453.35; C. A. Port, $1,024.66: (". Wilson, $2,01751. 

I Administrative costs of land appraisals made by the Soldier Settlement of Canada from 
April 1 to November 30. 1941. at $16 each were as follows: Manitoba, $16; Saskatchewan, 
$11,744; Alberta, $6,512. 



104 AUDITOR GENERAL'S REPORT 

Audit Note 

Section 13 of the Farmers' Creditors Arrangement Act, 1934, provides that the Governor 
in Council may appoint a Registrar and any other necessary officers and set the rates of 
remuneration. P.C. 422 of February 16, 1935, provides that, subject to the approval of the 
Superintendent of Bankruptcy, the Registrars be allowed such disbursements as may be 
necessary for stenographic and clerical assistance and rent. The departmental officials and 
paying officers have interpreted the terms of this order as sufficient authority to make appoint- 
ments to clerical positions and set the rates of remuneration without reference to the Treasury 
Board or the Governor in Council. 

Vote 67 Salaries, reclassifications and increases, $100,000 less 

$28,717.47 transferred 71,282 53 

Expenditures nil 



Lapsed $ 71,282 53 



Comments on Expenditures 

Amounts transferred with the approval of Treasury Board to supplement the salary 
allotments of other votes were as follows: Finance, Vote 46, $4,498.07; Vote 51, $15,663.46; 
Public Works, Vote 305, $1,424.75; Transport, Vote 375, $7,131.19. 

Vote 68 Unforeseen Expenses $80,000 less $18,517.28 transferred 61,482 72 

Expenditures 48,034 24 



Lapsed $ 13,448 48 



Comments on Expenditures 

Amounts transferred by Treasury Board to other departments were as follows: External 
Affairs, $23.40; Labour, $3,335.91; Legislation, $688.48; Mines and Resources, $1,116.18; 
Public Works, $100; Secretary of State, $13,253.31. 

Expenditures by the Department of Finance, charged to Unforeseen Expenses totalled 
$48,034.24. Of this amount, $39,962.09 represented expenditures authorized by P.C. 11/6016 
of August 6, 1941, to defray the expenses of the audit of the accounts of the provinces, 
particularly the revenues received from the personal income tax, various corporation taxes 
and the gasoline tax, undertaken in order to implement the offer made by the Dominion 
to provide compensation to those provinces which agreed to vacate the personal income 
tax and corporation tax fields for the duration of the war. The amount of $39,962.09 was 
paid to J. C. Thompson, F.C.A., at the rate of $50 per day for his services, $40 per day for 
a principal assistant; $35 per day for senior assistants; $25 per day for other chartered 
accountants, assisting senior men in charge of the audit in each province; and $15 per day 
for junior staff. 

Treasury Board Minutes T 208680B of June 19, 1941, and T 209786B of July 17, 1941, 
approved payments of $1,933.92 and $669.48, respectively, in connection with the Dominion 
Provincial conference on the "Sirois" Report. The former amount was paid to the Bank of 
Canada for disbursements made by it as follows: printing and stationery, $1,814; newspapers, 
books and periodicals, $67.40; postage, $18.73 and express, $33.79. The amount of $669.48 
was for professional services. 

A grant of $5,000 to the International Red Cross Committee was approved by Treasury 
Board Minute T 211081B of August 14, 1941, and charged to Unforeseen Expenses. 

An amount of $468.75 was paid to the estate of the late Sir Frederick Banting, repre- 
senting Sir Frederick's pension for the period from February 1 to February 21, 1941, under 
the authority of T 228702B of August 13, 1942. 

Vote 420 Cost of living bonus, $1,300,000 less $1,017,337.62 trans- 
ferred 282,662 38 

Expenditures nil 

Lapsed $ 282,662 38 



DEPARTMENT OF FINANCE 105 

Comments on Expenditures 

Allotments transferred with the approval of Treasury Hoard to supplement the salary 
allotments of oth.r votes were as follows: Agriculture, Vote 2, $2,546.96; Vote 5, 120955; 
Vote 8, $4,647.11; Vote 9, $451.80; Vote 11. $11,486.78; Finance, Vote 16, $10332.69; Vo 
$3,0 10.55; Legislation, Vote 118, $14,164.54; Mines and Resources, Vote 143, §3,278.19; 
Vote 150, $190.56; Pensions and National Health. Vote 203, $39,169.85; Vote 218, $533.41; 
Post Office, Vote 241, $4,453.74; Vote 242, 8797,273.34; Vol. 244 $52,255.45; Vott 246, 
$11,371.30; Public Printing and Stationery, Vote 251, $285.76; Secretary of State, Vote 326, 
$906.20; Vote 336, $282.96; Labour, Vote 99, $2,518.02; Vote 100, $1,429.50; Vote 101, 
$32.30; Vote 105, $854.97; Trade and Commerce, Vote 340, S2.105.60; Vote 345, $73.60; 
Vote 347, $602.26; Vote 352, $4,100; Vote 353, $17,794.99; Vote 357, $190.56; Transport, 
Vote 370, $975.64; Vote 353, $11,517.79; Vote 375, $7,761.20; Vote 383, $502.77; Vote 385, 
$1,297.59; Vote 390, $871.21; Vote 391, $2,526.94; Vote 399, $666.96; Vote 406, $828.98. 

In addition to the above, an amount of $3,300 was allotted and paid to the National 
Battlefields Commission to supplement the statutory grant to that body. 

Redejnption of Previous Years* Cheques — Consolidated Revenue and 

Audit Act, c. 27, 1931 $ 893 99 



Comments on Expenditures 

This amount was required to cover the payment of cheques, the provision for which 
had been transferred through Casual Revenue to Consolidated Fund. The expenditures 
included an amount of $261.25 to cover unclaimed interest cheques cancelled from the 
balance previously transferred to Casual Revenue. The balance of $632.74 represented pay- 
ment of cheques issued prior to 1930-31 and transferred to Consolidated Fund, and which 
were presented for payment and charged to outstanding cheque account during 1941-42. 



Coal Subsidies and Subventions 

Vote 173 Dominion Fuel Board: Administration and Investigations . . . . 27,415 00 

Expenditures 26,954 41 

Lapsed $ 460 59 

Estimates Allotments 

details authorized Expenditures 

A Salaries 23,355 00 22,455 00 22,452 85 

B Printing and Stationery 1,000 00 1,000 00 794 45 

C Travel (Field Studies) 1,000 00 600 00 535 53 

D Sundries 2,060 00 3.360 00 3.171 58 



$ 27.415 00 $ 27,415 00 $ 26,954 41 



Comments on Expenditures 

A As of March 31, 1942. there were 10 employees paid from this vote. The following were 
receiving annual salaries of 82.400 or over on that date: J. R. Cox, S3.4S0; H. Mac] ' 
$3,600; T. Marshall, $2,700; F. ('.. Neate, S4,620; C. L. O'Brian, S3.300. Thi 
H. MacDonald was paid from this vote and subsequently recovered monthly from the 
Dominion Steel and Coal Corporation, Sydney, X.S.. in accordance with Section 5. 
Chapter 6, Geo. V, 1930, which directs that the tion be recoverable 

from the manufacturer making claim for subsidy. 

C Travelling expenses in excess of $300 were: C. I.. O'Brian, 1383.18. 

D Included in this allotment are telegraph costs of $2,664.17. 



106 AUDITOR GENERAL'S REPORT 

Vote 174 Payments in connection ivith the movements of coal under 

conditions prescribed by the Governor in Council 4,500,000 00 

Expenditures 4,421,146 42 

Lapsed $ 78,853 58 



Comments on Expenditures 

Subventions were paid to the following companies: Canadian Collieries (Dimsmuir) Ltd.. 
B.C., $70,355.59; Canadian National Railways, $966,958.60; Canadian Pacific Railway, 
$1,660,301.63; Cumberland Railway and Coal Company, Sydney, N.S., $409.29; Crow's Nest 
Pass Coal Co. Ltd., Fernie, B.C., $11,119.27; Dominion Coal Co. Ltd., Montreal, P.Q., 
$1,542,588.83; Maritime Coal, Railway and Power Co. Ltd., Amherst, N.S., $2,680.74; Mountain 
Park Coals, Ltd., Edmonton, Alta., $10,367.87; Sydney and Louisburg Railway Co.. Sydney, 
N.S., $156,364.60. 

Subsidies under the Domestic Fuel Act, c. 52, 1927 $ 53,013 00 



Comments on Expenditures 

Subsidies were paid to the following companies at $1 per net ton of Canadian coal 
used in the production of coke sold for domestic use: British Columbia Electric Power and 
Gas Co. Ltd., $29,935.82; Nova Scotia Light and Power Co. Ltd., $8,789.26; Quebec Power 
Co., $14,287.92. 

The quantity of Canadian coal used and the quantity and percentage of coke produced 
from this coal is as follows: 

Company Coal Coke Percentage 
British Columbia Electric Power and Gas 

Co. Ltd 29,935.82 tons 20,057 tons 67 

Nova Scotia Light and Power Co., Ltd 8,789.26 tons 5.361.45 tons 61 

Quebec Power Co 14,287.92 tons 8,929.952 tons 62.5 

Subsidy payments under an Act to place Canadian coal used in the manu- 
facture of iron or steel on a basis of equality with imported 
coal, c. 6, 1930 $ 379,058 59 

Comments on Expenditures 

Subsidies of 49^ cents per net ton of bituminous coal mined in Canada and converted 
into coke and used in the smelting of iron and in the manufacture of steel ingots or castings 
were paid to the Dominion Steel and Coal Corporation Limited. Sydney, Nova Scotia, 
as follows: Iron, $373,470.07; steel ingots or castings, $5,588.52. 

See Vote 173 regarding expenses of inspection. 

Special 

Vote 112 Administrative Expenses generally including temporary ap- 
pointments — Comptroller of the Treasury 18,000 00 

Expenditures 17,952 32 



Lapsed $ 47 68 



Comments on Expenditures 

These expenditures of the Comptroller of the Treasury's Office incurred in connection 
with the field examination of accounts under relief legislation were in addition to those 
charged to Vote 65 and the War Appropriation, 1941, and were charged as follows: salaries, 
$12,892.84; travel, $4,089.55; sundries, $969.93. 

Expenditures charged to this allotment include the salaries of employees of the Comp- 
troller of the Treasury's Office for the period of their employment in connection with the 
auditing of relief accounts. Salaries of those receiving $2,400 or more per annum are shown 
under Vote 65. 



DEPARTMENT OP FINANCE 107 

The following received travelling expenses in excess of $300: J. T. Brisson, S1.1S7.48; 
W. W. Holcombe, S1,2S2.01. 

Write* Down of Assets 

Canadian National Railways Securities Trust Stock — Canadian National 

Railways Capital Revision Act, c. 22, 1937 $2,539,187 21 



Comments on Expenditures 

The capital stock of the Canadian National Railways Securities Trust was reduced 
during the year by $2,539,187.21 due to line and property abandonments arising out of trans- 
actions during and applicable to the calendar year 1941. 

Cancellation of Canadian Farm Loan Capital Stock — Canadian Farm 

Loan Act, c. 66, R.S. and amendments $ 9,613 00 



Comments on Expenditures 

Under the authority of the Canadian Farm Loan Act, capital stock subscribed by the 
Dominion Government totalling S9.613 was cancelled during the year. Of this amount, 
$5,813 was for first and second mortgage loans where title was transferred to the Canadian 
Farm Loan Board; S3.600 was for subscriptions written down in virtue of proposals formu- 
lated under the Farmers' Creditors Arrangement Act, c. 53, 1934; and $200 was on account 
of composition agreements as provided by Section 4 (g) of the Canadian Farm Loan Act. 

Other Charges 

Provision for Reserve Account — Loans and Advances — Consolidated 

Revenue and Audit Act, c. 27, 1931 $25,000,000 00 



Comments on Expenditures 

This amount was charged to Consolidated Fund to make additional provision for a 
reserve for possible losses in the ultimate realization of Active Loans and Advances. The 
\ e now amounts to S50.000.000. 

■Son-Active Accounts 

Increase in Canadian National Railways Securities Trust Stock — Canadian 

National Railways Capital Revision Act, c. 22, 1937 $4,115,600 91 



Comments on Expenditures 

The Canadian National Railways Securities Trust Stock was increased by SI. 115.600.91 
Paring the year and was accounted for as a capital gain through the Proprietors' Equity 
Account which is included in the net debt of Canada as a non-active account, and is so 
reflected in the Dominion's Balance Sheet. The total of S4. 115.600.91 is offsel by a similar 
amount included as J credit to Consolidated Fund. 

Of the total, S4.016,326.74 represents the increase of the Dominion's equity in tin Canadian 
National Railways duo to the surplus earnings of the railway systi m for the calendar j t 1941. 

The balance of S99.274.17 is due to the capital gain in the redemption of Grand Trunk 
Railway V> perpetual debenture stock, included as part of the outstanding fund..: 
of the Canadian National Railway Company, and on which payment of inter' guaran- 

ty the Dominion pursuant to the pro. the Grand Trunk Railway Acquu 

Act. 1919. Under an order dated October 26. 1940. made by His M [Teasury of 

the United Kingdom, such portion of the debenture held by r in the 

1 Kingdom was transferred to t! a vesting price of £103-17-4 per £100 

stock surrendered, payable November 26. 1940, plus £0-7-1 accrued interest, and - 
the condition that the Canadian National Railway Company would purchas >ck at 

the vesting price. By P.C. 6002 of 35, 1940, under and by virtue the Canadian 



108 



AUDITOR GENERAL'S REPORT 



National Railways Financing and Guarantee Act, 1940, and the War Measures Act, the 
company was authorized to purchase the securities. The amount of stock held by residents 
of the United Kingdom had not been definitely determined at the time of the closing of the 
1940 accounts of the Company, so the accounts were prepared on the basis that a total of 
£22,500,000 would be redeemed and any necessary adjustment would be entered in the 
accounts for 1941. The redemption of this amount at the prevailing rate of exchange would 
have effected a reduction of $5,503,500 on the outstanding debt of the railway. The amount 
of debenture stock actually redeemed under the vesting order to December 31, 1941, amounted 
to £22,760,000, resulting in a reduction of $5,567,096 in the outstanding debt of the railway 
and consequently $63,596 remained to be dealt with in 1941. 

A further amount of £139,890 was also redeemed in 1941 under an offer dated December 14, 
1940, made to residents of Canada, which resulted in a reduction of $35,678.17 in the railway 
debt'. 

The total reduction in the railway debt amounting to $5,602,774.17 was thus accounted 
for, $5,503,500 in the 1940 accounts and $99,274.17 in the 1941 accounts. 



Loans and Investments 

In addition to the expenditures for the year, under the authority of continuing statutory 
provisions, the Department of Finance paid out amounts totalling $4,134,458.86 for loans 
and investments which were classified as active in the Balance Sheet in accordance with 
the definition adopted in 1920. Credits during the year totalled $3,103,938.24, of which 
$3,094,325.24 represented cash repayments and $9,613 write-offs to expenditures. 

Repayments 
Loans out- and other Loans out- 

standing Advances credits standing 

April 1, during during March 31, 

1941 year year 1942 

A Canadian Farm Loan Board, 
Advances and Capital 

Stock 37,521,468 00 25,427 00 1,009,613 00 36,537,282 00 

B Dominion and National 

Housing Acts, Advances.. 13,609,929 61 3,508,394 31 864,228 94 16,254,094 98 
C Foreign Governments — Ad- 
vances 30,854,262 40 30,854,262 40 

D Municipal Improvements As- 
sistance Act 5,644,606 66 600,637 55 268,983 56 5,976,260 65 

E Housing Loans to Provinces 870,500 00 740,000 00 130,500 00 

F Unemployment Relief Loans 

to Provinces 157,492,294 23 217,272 74 157,275,021 49 

G Alberta Subsidy overpay- 
ment 468,750 00 468,750 00 

H Saskatchewan — Power Com- 
mission 57,600 00 3,840 00 53,760 00 



$246,519,410 90 $4,134,458 86 $3,103,938 24 $247,549,931 52 



A Advances to the Canadian Farm Loan Board amounted to $25,427 during the fiscal 
year and amounts totalling $1,009,613 were credited to the account. Under the authority 
of the Canadian Farm Loan Act, c. 66, R.S. and amendments, the Government purchased 
capital stock amounting to $25,427, while $9,613 was cancelled and written off to Con- 
solidated Fund, leaving a debit balance of $2,256,763 in the capital stock subscription 
account on March 31, 1942. Canadian Farm Loan Bonds amounting to $1,000,000 were 
redeemed during the year, the debit balance of the investment account being $29,200,000 
on March 31, 1942. No advances for initial capital or subscriptions for capital stock were 
made under authority of the Canadian Fisherman's Loan Act, c. 52, 1935, during the 
year, the balances on March 31, 1942, being $29,000 and $1,519, respectively. 

Interest amounting to $1,235,845.81 was received during the year and credited to Interest 
on Investments. Of the total, $175,585.54 represented interest on initial capital advances, 
and $1,060,260.27 interest at 3i per cent on Farm Loan Bonds. Initial capital advances 
are free of interest for a period of three years. 



DEPARTMENT OF FINANCE 109 

B The Dominion's share of loans under the Dominion Housing Act, c. 58, 1935, and the 
National Housing Act, c. 49, 193S, totalled SI 6,254 ,094 .98 on March 31, 1942, an is 
of $2,644,165.37 over the corresponding amount of $13,609,929.61 on March 31, 1911. The 
Dominion's share of advances during the fiscal year amounted to 13,508,394.31 and i 
ments totalling SS64,22S.94 were received and credited to the investment account. The 
Government's share of profits on the realization of defaulted loms amounting to $27939 
was reduced by its share of losses amounting to $179.26, leaving a net profit of $100.13 
which was credited to Casual Revenue. 

C No payments of principal or interesl were received during the year on account of 
advances to the Governments of Greece and Roumania which amounted to $6,525,000 
and $24,329,262.40, respectively, on March 31, 1942. 

D Amounts totalling $600,637.55 were advanced under authority of the Municipal Improve- 
ments Assistance Act, c. 33, 1938, while repayments of principal amounted to $268,983.56, 
the balance outstanding on March 31, 1942, being $5,976,260.65. During the fiscal year, 
interest amounting to $114,823.88 was received and credited to Interest on Investments. 

E Housing loans made to provinces during the years 1919 to 1924 under the authority 
of P.C. 2997 of December 3, 1918, and amendments were repaid to the extent of $740,000 
during 1941-42, the balance outstanding on March 31, 1942, being $130,500. Repayments 
were credited as follows: Manitoba, $350,000; British Columbia, $340,000. Interest at 
5 per cent to a total of $25,979.46 was received during the year and credited to Interest 
on Investments. 

F Xo further loans were made to the provinces during the year for Unemployment or 
Agricultural Assistance. Repayments during 1941-42 amounting to $217,272.74 were 
received and credited as follows: Alberta, $46,000; British Columbia, $171,272.74. Interest 
amounting to $2,793,954.45 was received and credited to Interest on Investments during 
the fiscal year. 

G No repayment of principal was received during the year on account of the advances 
to the Province of Alberta in respect to overpayments of subsidy in the years 1914-16. 
Interest at 3 per cent was received and credited to Interest on Investments. 

H The loan of $57,600 to the Province of Saskatchewan authorized by P.C. 4891 of 
September 17, 1940, to enable the Saskatchewan Power Commission to extend its system 
to the Bombing and Gunnery School at Dafoe, Saskatchewan, bears interest at 3^ per cent 
and is repayable in thirty half-yearly instalments, commencing May 15, 1941. Repayment 
of principal totalling $3,840 was received during the year, and interest amounting to 
$1,880.22 was credited to Interest on Investments. 

The governing Order in Council recited that the loan was authorized "under and by 
virtue of the powers conferred by the War Measures Act and otherwise." It was noted 
in the previous report that the War Measures Act did not appear to vest in the Governor 
in Council any power to appropriate the Consolidated Revenue Fund. By P.C. 3436 of 
April 28, 1942, the loan was declared to have been made from moneys appropriated 
under the War Appropriation Act, 1940, thus correcting an accounting irregularity. 



DEPARTMENT OF FISHERIES 
REVENUES 



Summary 



Ordinary Revenue — 

A Licence Fees 

B Inspection Fees 

C Oyster Leases 

D "Modus Vivendi" Licences 

E Pelagic Sealing 

F Casual Revenue 

G Fines and Forfeitures .... 



1941-42 



1940-41 



39.464 92 


42,142 75 


19.120 38 


7,525 94 


2,285 87 


2,208 74 


362 00 


276 00 


325,131 12 


160,810 77 


10,475 70 


8,529 59 


19,428 40 


10,424 11 


$ 416,268 39 


$ 231,917 90 



Certified correct. 



D. B. FINN, 
Deputy Minister. 



In accordance with the provisions of 
Section 45 (1) of the Consolidated Revenue 
and Audit Act, I have satisfied myself that 
the above revenues for 1941-42 have been 
fully accounted for. 

WATSON SELLAR, 

Auditor General. 



Comments on Revenues 

A Licences, ranging from 25 cents for lobster fishing to $500 for trawler licences, were 
issued in various provinces, the proceeds from which amounted to: Prince Edward Island, 
$842; Nova Scotia, $8,298.17; New Brunswick, $9,124.75; Quebec, $171; British Columbia, 
$20,567; Yukon Territory, $420; North West Territories, $40; Hudson Bay District, $2. 
A fishery lease was issued to the Dark Harbour Co. Ltd., covering fishing privileges 
in the area of Dark Harbour, N.B., at a yearly rental of $25. 

B Inspection fees at the rate of one-half cent per case of forty-eight one-pound cans, 
or the equivalent thereof, covering certificates for all salmon and herring packed in 
British Columbia, amounted to $19,120.38. 

G Oyster leases were issued in the provinces of Prince Edward Island and Nova Scotia, 
the proceeds therefrom being respectively, $1,733.30 and $552.57. 

D "Modus Vivendi" licences were issued to United States fishing vessels at a charge of 
$1.00 per licence. 

E Under the terms of the Pelagic Sealing Treaty of 1911, Canada is to receive from 
the United States 15 per cent of the total number of sealskins taken annually upon the 
Pribilof Islands; from Japan 10 per cent of the total number of sealskins taken upon 
Robben Island and from Russia 15 per cent of the total number of sealskins taken upon 
the Commander Islands. Canada has received during the fiscal year 1941-42 proceeds 
. from the sale of skins as follows: — 

U.S.A. Pribilof Islands rookeries: 8,000 skins marketed in Montreal, $243,631.66; Canada's 
share of proceeds from sale of 30,012 skins sold in St. Louis, U.S.A., $76,753.24; 135 skins 
sold to C. W. Martin & Sons for experimental purposes, $1,887.30. 

Japanese rookeries: 300 skins for 1940, $2,858.92. 

No statement of take or proceeds, if any, has been received from Russia. 

The cost of dressing and dyeing, including freight, customs and excise duties, ware- 
house expenses, etc., amounting to $93,941.32, was charged to Vote 80. 



110 



DEPARTMENT OF FISHERIES ill 

F Casual Revenue represent the proceeds from: Departments shari ipts in the 

showing of the film "Teeming Treasures," $261.98; Bales of oysters and fish, 17,941.10; 
Balvage material, etc., $146.63; statipnery, bo (250.50; trout fry and finger- 

lings, $578.50; fishing bounty cheques returned, $142.46; Salt Fish Board deficiency 
Hunt cheques returned, $7.75; sundries, S1,146.7S. 

<; Fines and forfeitures: Fines imposed and sales <>i' confiscations under the following 
Fishei \ : Prince Edward [sland, $632; Nova Scotia, $81857; New Brunswick, $1,047; 
British Columbia, $8,565 ; Northern Pacific Balibul Fishery Act: British I 36553 

An lit Note 

Fines imposed for infraction-' of the Fisheries Act, amounting to approximately v 
win remitted by the Minister under Section 94 of the Act. 

APPROPRIATIONS AND EXPENDITURES 

A total of 82,220,439.60 was available for expenditure on account of the Department 
of Fisheries, of which $2,057,480 was provided in the annual appropriation Acta and 
$171,959.60 was authorized by continuing statutory provisions. Expenditures were SI, 704, - 
$58.69 for the fiscal year 1941-42, a decrease of S300,998.86 as compared with the 
$2,005,357.55 in 1940-41. 

In addition, a total of $113,500 was allotted to the Department from the War Appro- 
priation. Expenditures thereunder amounting to $106,097.01 are shown in the War Expenditure 
section of this report. 

No. of 
Vote Si rvices Appropriations Expenditures Lapsed 

Statutory Salary of Minister, Salaries, Act, 

c. 182. R.S 10.000 00 10,000 00 

Statutory Motor Car Allowance to Minister, 

Appropriation Act No. 5, c. 61. 

1931 2,000 00 2.000 00 

69 Departmental Administration 128,480 00 122,623 89 5,856 11 

70 Fisheries Inspection, including Fish- 

ery Officers and Guardians, Fish- 
eries Patrol and Protection 
Services 767.000 00 750,996 22 16,003 78 

71 Building Fishways and Clearing 

Rivers 7,000 00 3,326 26 3,673 74 

72 Development of the Deep Sea 

Fisheries and the Demand for 

Fish 50,000 00 29,427 68 20,572 32 

73 Salt Fish Board 25.000 00 12.157 48 1-VS42 52 

74 Fish Culture 190.000 00 175,952 43 11017 57 

75 Oyster Culture 24,000 00 21,256 19 2,7 13 81 

76 Fisheries Research Board of Canada 238.000 00 21S.427 82 19,572 18 

77 Canadian share of expenses of the 

International Fisheries Commis- 
sion appointed under Treaty 
dated Mar. 2, 1923, between 
Canada and the United States for 
the preservation of the North 

Pacific Halibut Fishery 25.000 00 24.321 86 678 It 

7S Canadian Bhare of expenses of the 
International Pacific Salmon Fish- 
erics Commission under Treaty 
between Canada and the United 
States for the protection, preserva- 
tion and extension of the Sockeye 
Salmon Fisheries of the Fraser 
River System 40,000 00 39,SS6 30 113 70 



112 AUDITOR GENERAL'S REPORT 

Vote Services Appropriations Expenditures Lapsed 

79 Grant to the United Maritime Fish- 

ermen's Association 3,000 00 3,000 00 

80 Transportation, dressing and dyeing, 

and other expenses incidental to 
receiving and disposing of fur seal 
skins accruing to Canada pursuant 
to the Pelagic Sealing Treaty, 1911 120,000 00 93,941 32 26,058 68 

81 Payment of a bounty for the des- 

truction of Harbour Seals 15,000 00 11,794 50 3,205 50 

Statutory Fishing Bounty, c. 74, R.S 159,95960 159,959 60 

Total Ordinary Expenditure ....$1,804,439 60 $1,679,07155 $ 125,368 05 

Special 

82 Extension of educational work in 

co-operative producing and selling 

among fishermen 25,000 00 24,692 44 307 56 

83 Assisting the Salt Fish Branch of 

the Fishing Industry 400,000 00 594 70 399,405 30 

Total Special Expenditure 425,000 00 25.287 14 399,712 86 

Total $2,229,439 60 $1,704,358 69 $ 525,080 91 



Certified correct. 



B. G. McINTYRE, 
Comptroller of the Treasury. 



The above accounts have been examined 
and audited under my direction, in accord- 
ance with the provisions of the Consolidated 
Revenue and Audit Act and, subject to 
the observations in this report, I certify 
that in my opinion they are Correct. 

WATSON SELLAR, 

Auditor General. 



Salary of Minister, Salaries Act, c. 182, R.S., Hon. J. E. Michaud $ 10,000 00 



Motor Car Allowance to Minister, Appropriation Act No. 5, c. 61, 1931 . . .$ 2,000 00 



Vote 69 Departmental Administration 128,480 00 

Expenditures 122,623 89 



Lapsed $ 



5,856 11 



Estimates 
details 

A Salaries 110,780 00 

B Printing and Stationery 5,000 00 

C Travelling Expenses 6,200 00 

D Sundries 6,500 00 



110,780 00 
4,000 00 
7,200 00 
6,500 00 



Allotments 

authorized Expenditures 



106,959 86 
3,281 89 
6,354 15 
6,027 99 



$ 128,480 00 $ 128,480 00 $ 122,623 



Comments on Expenditures 

A As of March 31, 1942, there were 57 employees paid from this vote. The following 
were receiving annual salaries of $2,400 or over on that date: D. B. Finn, Deputy Minister, 
$8,000; E. Bosse, $3,600; C. Bruce, $4,140; M. M. Cummings, $2,400; H. P. Evans, 
$2,400; G. M. Graham, $2,400; J. J. Lamb, $3,240; H. A. Lynch, $3,300; G. McCann, 
$2,400; H. F. S. Paisley, $3,780; F. J. Petry, $3,420; D. H. Sutherland, $4,500; A. J. 
Whitmore, $3,660. 



DEPARTMENT <)I FISHERIES 113 

C Travelling expenses of $300 or over *ere: Hon. J. E. Michaud, Minister, S600; D. B. 

Finn, Deputy Minister, $2,130.72; !■:. I'.u m>. $541.33 ; II. A. I.yn.-!,, $%r, in ; A J. Wnitmore, 

$980.27. 
D The expenditure for postage, telegrams and telephones amounted to 15,194.82 

Vote 70 Fisheries Inspection, including Fishery Officers and Guardians, 

Fisheries Patrol and Protection Services 767.000 00 

Expenditures 750,996 22 



Lapsed $ 16,003 78 



Estim Allotments 

details authorized Expenditures 

A Salaries and Wages 504,952 00 512.052 00 511,985 95 

B Allowances (Board) 3.400 00 3,288 30 

C Printing and Stationery 16,000 00 16.000 00 11.75111 

D Travelling Expenses 115,079 00 115.079 00 106,863 57 

E Sundries 130,969 00 120,469 00 117,107 29 



$ 767.000 00 S 767.000 00 S 750,996 22 



Comments on Expenditures 

A D The following officials, in receipt of annual salaries of $1,800 or over, as of March 31, 
1942. or at noted date of separation, together with the actual amounts paid to guardians, 
are shown by provinces and districts. The travelling expenses are shown in brackets. 

Eastern Division, Fishery Officers and Guardians: — 
Nova Scotia: 

II tdquarters, Halifax: A. L. Barry, chief supervisor, $3,720 (SI. 860 .69) ; R. Grav. 

S2.760 ($1,136.09); R. G. McKay, $2,760 ($130.34); E. A. Home, $1,920 ($49.95); 

K. Sollows. $1,800 ($2,021.55). 
Sydney and District: W. McAulay, district supervisor, $2,400 ($744.62): inspectors: 

T. H. Kitchen. $1,800 ($990.57); A. J. Murphy, $1,800 ($736.85); J. M. OToole, 

$1,800 (S932.67); R, F. Sampson, 81,800 ($746.39); P. W. Smith. S1.800 ($989.10): 

A. K. Wilkie, S1,S00 ($697); under S1.800: 1 inspector ($829.33); gasoline, oil, 

$103.43; guardians, $11,295 ($951.03). 
Pictou and District: E. D. Fraser, district supervisor, S2.760 ($1,187.87); inspectors: 

G. M. Adamson, $1,800 ($519.53); E. M. Arnold. $1,800 ($637.30): E. G. Beaver. 

81.800 ($657.07); A. P. Fitzgerald. $1,800 ($661.45); W. G. Harris, $1,800 ($547.45); 

J. P. Henneberry. $1,800 ($703.79); C. C. Hollis, $1,800. Dec. 1 on military leave 

($473.48); S. J. Homans, $1,800 ($1,163.75); M. M. Manson, $1,800 ($552.77); 

D. M. Pettis, SI ,800 ($647.85); F. Swaine. $1,800 ($766.25); under $1,800: 3 

inspectors ($1,163.94); guardians, $10,176.39 (S2.754.04). 
Digbv and District: H. H. Marshall, district supervisor. 82.760 ($900.55); inspectors: 

J. P. Buchanan, $1,800 ($846.55); P. E. Filled, $1,800 ($847.45): A. 8. Kennov. 

$1,800 ($720.80); H. G. Locke, $1,800 ($608.40); W. J. Naas, $1,800 ($614.10); 

J. H. Thibault, $1,800 ($709.85); F. Watson. S1.S00 ($724.15); under $1,800: 5 

inspectors ($3,052.10); gasoline, oil, S88.28; guardians. $14,121.74 ($1,887.47). 

Prince Edward Island: 
Charlottetown and District: J. J. Larabee, district supervisor, $2,760 ($854.76); 

inspectors: L. C. Johnston. $1,800 ($992.10); P. C. Martin. $1,800 ($1,02535); 

P. A. McLellan, S1.800 ($770.35); J. C. Shaw. $1300 (Sl.243.20); under S1.S00: 

3 inspectors (S2.099.57); gasoline, oil. $426.73; guardians. S7.726.21 ($2,440.89). 
Magdalen Islands: inspectors: YV. S. Arsenault, $1,800 ($565.10); C. Clark, $1,800 

($569.10); gasoline, oil, S442.57; guardians, $975. 

New Brunswick : 

Welchpool and District: F. E. Justason. district supervisor, $2,280 (SI. 130. 15) ; 

inspectors: B. Barnes. $1,800 (SS0S.80) ; B. B. Brittain. $1,800 ($489.97); O. A. Rigby, 

81.800 ($895.10); D. L. Thompson. $1,800 ($723.91); under SI £00: 2 insp- 
($775.75); gasoline, oil, $194.29; guardians, $3,891.72 ($1,496.52). 



114 AUDITOR GENERAL'S REPORT 

Newcastle and District: T. C. Collette, district supervisor, $2,280 ($903.91); inspectors: 
T. Bell, $1,800 ($982.90) ; F. J. Breau, $1,800 ($947.15) ; L. J. Doucet, $1,800 ($900.87) ; 
C. Guignard, $1,800 ($1,016.45); L. J. Landry, $1,800 ($886.45); R. G. Long, $1,800 
($702.25) ; J. J. Losier, $1,800 ($736.65) ; A. A. Robichaud, $1,800 ($987.75) ; under 
$1,800: 3 inspectors ($2,468.52); gasoline, oil, $1,124.22; guardians, $16,576.08 
($3,350.58). 

Fredericton and District: L. H. Parks, district supervisor, $2,760 ($711.68); under 
$1,800: 4 inspectors ($2,783.39); gasoline, oil, $77.55; guardians, $14,388.55 ($795). 

Western Division, Fishery Officers and Guardians: — 
British Columbia: 

Headquarters, Vancouver: J. A. Motherwell, division supervisor, $4,020 ($581.45); 
A. Mackie, $2,760, Dec. 27; W. M. Chapman, $2,700 ($70.97); J. McHugh, $3,420; 
L. G. Swann, $2,400 ($42.75); T. Taylor, $1,920 ($34.50). 

New Westminster and District: R. W. MacLeod, district supervisor, $2,760 ($785.33); 
inspectors: D. Lockwood, $1,800 ($895.51); G. L. Stock, $1,800 ($68.60); under 
$1,800: 5 inspectors ($4,339.70); gasoline, oil, supplies, $104.23; guardians, $4,538.20 
($3,649.62). 

Prince Rupert and District: J. Boyd, district supervisor, $2,760 ($142.30); inspectors: 
R. C. Edwards, $1,800 ($223.20); C. Lord. $1,800 ($140.55); A. Mclver, $1,800 
($270.30); G. E. Moore, $1,800 ($224.65); G. S. Reade, $1,800 ($197.70); E. S. 
Richardson, $1,800 ($467.08); W. Strachan, $1,800 ($394.99); I. Urseth, $1,800 
($711.35) ; F. Warne, collector of revenue, $2,040 ($305.30) ; under $1,800: 1 inspector 
($1,067.94); gasoline, oil, $50.21; guardians, $9,492.20 ($1,582.40). 

Nanaimo and District: J. F. Tait, district supervisor. $2,760 ($862.23); inspectors: 
S. Boond, $1,800 ($168); D. S. Cameron, $1,800 ($149.02); H. G. Dane, $1,800 
($458.15); A. F. Lloyd, $1,800 ($987.78); A. MacDonald, $1,800 ($1,122.10); 
M. MacLeod, $1,800 ($774.15); H. Mahoney, $1,800 ($733.80); A. N. McKinnon, 
$1,800 ($827.13); A. Park, $1,800 ($1,016.25); R. Pilling, $1,800 ($507.10); J. C. Scott, 
$1,800 ($669.60); under $1,800: 1 inspector ($474.05); gasoline, oil, supplies, $1,994.77; 
guardians, $4,437.19 ($1,513.24). 

Canned Salmon Inspection Office: F. Charnley, $3,600. 

The wages of the officers and crews of the Fisheries Protection Service and Fisheries 
Patrol Service were charged to this allotment. 

A summary of the expenditure of this vote follows: 
Eastern Division: — 

Fishery Officers and Guardians: Nova Scotia, $172,480.02; Prince Edward 
Island, $41,943.56; New Brunswick, $116,641.54; general account, $7,866.33. . 338,931 45 

Fishery Patrol Service showing boats with operating expenses over $2,000: 
Andrew Halkett, $8,586.69; Capelin, $6,694.15; Capital, $3,542.01; Gannet 
Rock No. 2, $4,429.47; Gilbert, $5,240.41; Gulf Racer, $3,269.20; Gulf Raider, 
$3,831.48; Gulf Runner, $3,281.99; Gulf Scout, $3,384.42; Olga J. M., 
$2,072.15; Thresher, $8,053.50; boats under $2,000: 11, $6,081.07; general 
account, $36 58,502 54 

General Accounts : Quebec, $392.76 ; Ontario, $7.42 400 18 

Western Division: — 

Fishery Officers and Guardians: British Columbia, $124,289.17; general 
account, $36,173.05 160,462 22 

Fishery Patrol Service showing boats with operating expenses over $2,000: 
Beldis, $4,831.69; Berma, $2,219.02; Black Raven No. 2, $4,646.02; Bonila 
Rock No. 2, $3,592.07; Charles Todd, $2,633.90; Cloyah No. 2, $4,701.83; 
Clupea, $3,754.28; Egret Plume No. 2, $4,395.19; F.O. No. 101, $4,928.75; 
lla, $2,699.14; Linnea, $2,136.56; Marisa, $2,439.56; Merry Sea No. 2, 
$5,595.64; Metra, $3,144.11; Onerka No. 2, $2,540.14; Pursepa, $3,915.30; 
Rividis, $6,439; Senepa, $3,494.57; Swan Tail No. 2, $5,138.55; Vanidis, 
$8,695.42; Vedder River, $4,345.62; boats under $2,000: 68: $52,120.06; 
Digby Island, $5,406.43; Poplar Island, $3,055.99; Diesel engine and 
equipment installed in patrol boat A. P. Knight, payment on account, 
$10,684.70; general account, $73 157,626 54 



DEPARTMENT OF FISHERIES 115 

Fishery Protection Service: Kitimat, L. Shcppanl, master. $2,280; R. B. 
Fenwick, chief engineer, $1,980; wages of officers and crew and i 

si 1,15250; genera] account, 1780.70 19,192 90 

Administration of the Canned Salmon [nspection Act 15,777 83 

General Accounts: Manitoba, 168.01; Saskatchewan, 16.48; Alberta, $13.16; 
Yukon Territory, $1 L91 102 56 



$ 750,996 22 



Vote 71 Building Fishtvays and Clearing Rivers 7,000 00 

Expenditures 3,326 26 



Lapsed $ 3,673 74 



Estimates Allotments 

details authorized Expenditures 

A Wages 5,000 00 4,500 00 1,575 59 

B Travelling Expenses 700 00 700 00 217 49 

C Sundries 1,300 00 1.800 00 1,533 18 



7,000 00 $ 7.000 00 $ 3,326 26 



Comments on Expenditures 

The expenditures by provinces were as follows: Nova Scotia, SI. 156.42; Prince Edward 
Island. S37.52; New Brunswick, $38.98, and British Columbia, $2,093.34 which includes the 
account of S. G. Bell and Edward Butler for removing log jam from the bed of Silicia 
Creek, B.C., $975. 

Vote 72 Development of the Deep Sea Fisheries and the Demand for 

Fish 50,000 00 

Expenditures 29,427 68 

Lapsed $ 20,572 32 

Estimates Allotments 

details authorized Expenditures 

A Salaries and Wages 18,180 00 18,180 00 11,596 20 

B Printing and Stationery 5.100 00 5,100 00 4,426 59 

C Travelling Expenses 12.400 00 12,400 00 5,847 31 

D Subsidies 500 00 500 00 100 00 

E Sundries 13,820 00 13.820 00 7,457 58 

S 50.000 00 S 50,000 00 S 29,427 68 



Comments on Expenditures 

A As of March 31, 1942, there were 3 employees paid from this vote. No employee was 
receiving an annual salary of $2,400 or over on that date. Six instructors in fish curing 
were paid S4. 155.69 (including bonus) at $4.50 per day. 

B All purchases of printing and stationery were made through the King's Printer. 

C Travelling expenses of $300 or over were: M. Atkins, $714.55; R. E. Churchill. $546.S5; 
M. M. Davis, $306.57: Wm. Deveau, $374.60; L. Flick, $333.52; H. J. Freeman. SI. 161.73; 
E. LeBlane. S7S5.17; E. H. MacMillan. $1,170.10. 

D Bonus of $100 paid to J. E. Cousins for storage on frozen bait. 

E Advertising for publicity purposes. $3.5S0.07; bait supplied to fishermen. $2,500. 



116 AUDITOR GENERAL'S REPORT 

Vote 73 Salt Fish Board 25,000 00 

Expenditures 12,157 48 

Lapsed $ 12,842 52 

Estimates Allotments 

details authorized Expenditures 

A Salaries and Wages 16.460 00 16,460 00 10,774 02 

B Printing and Stationery 1,000 00 1,000 00 204 40 

C Travelling Expenses 3,000 00 3,000 00 725 53 

D Sundries 4,540 00 4,540 00 453 53 

$ 25,000 00 $ 25,000 00 $ 12,157 48 



Comments on Expenditures r 

A The Salt Fish Board appointed by the Governor in Council under the authority of the 
Salt Fish Board Act, 1939, consisted of three members. The chairman, being the Deputy 
Minister of Fisheries, served without remuneration, while the two members, representing 
the fishermen-producers, were paid under authority of P.C. 24/7609 of December 24, 1940, 
at the rate of $10 per day for attendance at meetings. 

As at March 31, 1942, there were 6 employees paid from this vote. The following 
were receiving annual salaries of $1,800 or over at that date: R. D Amour, $2,280; R. A. 
Harlow, $2,220; W. C. Mackenzie, $1,920. 

C Travelling expenses of S. Bates were $383.93; all other accounts were under $200. 

D Members of the Board were paid $60 each for attending meetings. 

Vote 74 Fish Culture 190,000 00 

Expenditures 175,952 43 

Lapsed $ 14,047 57 

Estimates Allotments 

details authorized Expenditures 

A Salaries and Wages 109,825 00 109,825 00 107,589 35 

B Allowances in lieu of dwellings 515 00 515 00 239 93 

C Printing and Stationery 950 00 950 00 937 36 

D Travelling Expenses 8,200 00 8,200 00 7,210 38 

E Supplies 44,935 00 44,935 00 37,171 09 

F Repairs 10,580 00 14,580 00 14,000 51 

G Miscellaneous 14,995 00 10,995 00 8,803 81 

$ 190,000 00 $ 190,000 00 $ 175,952 43 



Comments on Expenditures 

A. As of March 31, 1942, the following were receiving annual salaries of $2,400 or over: 
C. J. Atkinson, $3,000; J. Catt, $2,760; J. A. Rodd, $4,920. 

B Three persons received these allowances for broken periods. 

D Accounts of $300 or over were: J. Catt, $302.95; C. E. Harding, $432.05; A. P. Hills, 
$1,554.95; T. K. Lydon, $584.81; C. F. Stevens, $300.97; F. A. Tingley, $1,051.49. 

E Includes coal, coke, wood, etc., $4,247.57; fish food, $22,368.95; gasoline, $3,029.31. 

G Miscellaneous includes acquisition of land, $1,658; fish fry and fish eggs, $2,821.07; 
telegrams, telephones, postage, electricity, freight, express and cartage, $3,101.54. 



DEPARTMENT OF FISHERIES 117 

A summary by provinces of the expenditures of the vote showing hatcheries, etc., 
follow- : 
Nova Scotia: Antigonish, $16,718.45; Bedford, $6,268.64; Cobequid, $9,636.22; 

Coldbrook Ponds, $2,826.63; Kijimkujik Ponds, $3,153.32; Lindloff, $5,808.61; 

Margaree, $11,918.04; Margaree Ponds, S2,081.67; Middleton, $6,876.29; 

Nictaux Pond and Rearing Station, $8.17; River Philip Pond, $3,013.09; 

Sackville Pond, $150.99; Yarmouth, $7,351.62; Grand Lake Ponds, $6,747.01; 

Mersey River— Pond No. 3 Development, $961.70; general, $300.75 83,821 20 

Prince Edward Island: Kelly Pond, $4,186.99; Morrell Pond, $436.65; Cardigan 

Ponds, $2,507.81 ; general, $6.92 7,138 37 

New Brunswick: Florenceville, $8,691.44; Grand Falls, $5,604.35; Miramichi, 

$6,655.26; Miramichi Pond, $3,718.67; New Mills Ponds, $5,075.48; St. John, 

$11,864.04; Charlo, $8,426.18; Chamcook Lakes. $226.35; general, $1,605.20.. 54,866 97 
Maritime Provinces: supervisors, engineers and staff, $13,654.73; general, 

$2,158.54 15,813 27 

British Columbia : general 865 02 

General : administration 13,447 60 



$ 175,952 43 



Vote 75 Oyster Culture 24,000 00 

Expenditures 21,256 19 



Lapsed $ 2,743 81 



Estimates Allotments 

details authorized Expenditures 

A Salaries and Wages 16,200 00 16,200 00 14,747 35 

B Travelling Expenses 4,500 00 4,500 00 3,657 17 

C Sundries 3,300 00 3,300 00 2,851 67 



$ 24,000 00 $ 24,000 00 $ 21,256 19 



Purpose for which Vote was Provided 

Kiirouraging the development of oyster farming on a commercial basis. 

Comments on Expenditures 

A As of March 31, 1942, there were 5 employees paid from this vote, at annual salary 
rates of $1,860 and under. Wages paid from this allotment amounted to $6,744.66; 
cost of living bonus amounted to $628.36. 

B Travelling expenses in excess of $300 were: H. R. Found, $653.49; C. J. Kerswill, 
$505.28; J. C. Medcof, $356.67; R. P. Morrison, $851.13; A. W. H. Needier, $1,068.35. 

Vote 76 Fisheries Research Board of Canada 238,000 00 

Expenditures 218,427 82 

Lapsed $ 19,572 18 

Estimates Allotments 

details authorized Expenditures 

\ Salaries and Wages 171,934 00 171,934 00 156,410 35 

B Printing and Stationery 1,910 00 6.910 00 6,C» 

C Travelling Expenses 14,873 00 14,873 00 13,381 63 

D Sundries 46,283 00 44,283 00 41.969 2S 

S 23S,000 00 $ 23S.000 00 S 21S,427 S2 



118 AUDITOR GENERAL'S REPORT 

Purpose for which Vote was Provided 

The Fisheries Research Board Act of 1937 provided for the constitution of a Board 
of fifteen members as follows : two from the Department, two representing the fishing industry 
on the Atlantic coast, two representing the fishing industry on the Pacific coast and nine 
scientists selected from a list including nominations which may be made by any Canadian 
University whose staff embraces scientists engaged in research work in any way bearing 
upon fishery problems. The duration of office and subsequent appointments are provided 
for in the Act. 

Under Section 6 of the Act. it is provided that the Board shall have charge of all 
Dominion fishery research stations in Canada and shall have the conduct and control of 
investigations of practical and economic problems connected with marine and fresh water 
fisheries, flora and fauna, and such other work as may be assigned to it by the Minister. 

Comments on Expenditures 

It is provided in Section 11 of the Act that the Board may expend such sums as are 
necessary for its work from moneys appropriated by Parliament for the work of the Board 
or from funds received as bequests, donations, etc. 

The Board received $9,698.61 from the following sources: contributions from the Province 
of British Columbia, $6,667.50; rent of properties, sale of publications, etc., $3,031.11. 

The total amount was credited to the vote as shown in the following summarized 
statement of expenditure: 

Net expendi- 
ture from 
Station or Office Expenditures Revenues Vote 

Atlantic Fisheries Experimental Station 40,607 20 40,607 20 

Atlantic Biological Station : 48,543 07 48,543 07 

Gaspe Fisheries Experimental Station 16,989 44 16,989 44 

Pacific Biological Station 60,724 29 8.867 50 51,856 79 

Pacific Fisheries Experimental Station 38,248 96 38,248 96 

Toronto Office 9,685 34 9,685 34 

General 13,328 13 S31 11 12,497 02 

$ 228,126 43 $ 9,698 61 $ 218,427 82 



A As of March 31, 1942, the following were paid annual salaries of $2,400 or over or 
at the date of separation (shown in brackets): S. A. Beatty, $4,680; H. N. Brockelsby 
$3,960; N. M. Carter, $5,040; R. E. Foerster, $4,680; J. L. Hart. $3,240; E. Hess, $3,600 
A. G. Huntsman, $5,880; W. W. Johnston, $3,000; A. H. Leim, $5,040; E. P. Linton 
$3,000; R. H. McGonigle, $3,360 (June 15 military leave); R. A. McKenzie, $2,880 
A. Nadeau, $3,000; F. Neave, $3,000; A. W. H. Needier, $4,500; A. L. Pritchard, $3,120 
E. G. Rigby, $2,664; M. W. Smith, $2,760; H. L. A. Tarr, $2,880; A. L. Tester, $2,640: 
J. P. Tully, $2,640; O. C. Young, $3,480. 

As stipulated in Section 9 of the Act, no member of the Board received payment 
or emolument for his services other than the honorarium of $1,000 paid to the Chairman, 
Dr. A. T. Cameron. 

C As required by Section 9 of the Act, the Governor in Council approved of a travelling 
allowance of $15 per day exclusive of transportation for members of the Board. The 
travelling expenses of the Board inclusive of the allowance amounted to $2,674.66. 

Other travelling expenses over $300 were: S. A. Beatty. $641.60; A. E. Calder, $340.28; 
N. M. Carter, $439.90; R. E. Foerster, $804.66; A. G. Huntsman, $763,34; A. Nadeau, 
S496.55; F. Neave, $467.01; A. W. H. Needier, $392.46; A. L. Pritchard, $495.62; D. B. 
Quayle, $442.50; G. F. M. Smith, $1,418.86; D. H. Sutherland, $606.88. 

D This allotment includes the following: diesel engine and generator, General Supply 
Co. of Canada, $2,437; alterations and repairs to "A. P. Knight/' Armstrong Brothers, 
Victoria, $761.26. The balance of the expenditure was for scientific equipment, materials, 
supplies, electricity, etc. 



DEPARTMENT OE FISHERIES 119 

Vote 77 Canadian share of expenses of the International Fisheries Com- 
mission appointed under Treaty dated March 2, 1923, 
between Canada and the United States for the preservation 
of the North Pacific Halibut Fishery 25,000 00 

Expenditures 24,321 86 



Lapsed $ 678 14 



A Salaries and Wages . . . 

B Travelling Expenses . . 

C Printing and Stationery 

D Sundries 



Estimates 


Allotments 




details 


authorized 


Expenditures 


16,489 00 


15,871 00 


15,634 97 


1,600 00 


1,900 00 


1,876 16 


750 00 


750 00 


666 01 


6,161 00 


6,479 00 


6.144 72 



$ 25,000 00 $ 25,000 00 S 24,321 86 



Comments on Expenditures 

The Treaty between the United States and Canada is designed to enable international 
control for the preservation of the Halibut Fishery of the North Pacific Ocean and the 
Bering Sea. The Commission is required to make all necessary study and investigation 
in relation to the fishery and to regulate fishing. 

The Treaty provides that each country appoint two commissioners, and pay the 
salaries and expenses of its own appointees and one-half the joint expenses incurred 
by the Commission. The work is carried out by Canada. 

The total disbursements for the year amounted to $46,692.93 of which the Canadian 
portion was S24.321.86 and the United States portion was $22,371.07. Of the United States 
portion, S10.016.48 has been repaid and the balance, $12,354.59, plus 11% premium on 
exchange, SI. 359 .01, transferred to the recoverable Pacific Halibut Treaty, Special Account 
in the Public Accounts. 

No salaries were paid the Canadian Commissioners. 

A The following employees were receiving annual salaries of $2,400 or over at March 31, 
1942: H. A. Dunlop, director, $5,500; F. H. Bell, $3,960; N. L. Freeman, $2,700; A. Seymour' 
$2,400; G. Shirk, $2,424. 

B Travelling expense payments of $300 or over were: O. E. Erikson, $627.08; X L Freeman 
S310.65; E. G. Johnson, S557.62. 

Vote 78 Canadian share of expenses of the International Pacific Salmon 
Fisheries Commission under Treaty between Canada and 
the United States for the protection, preservation and exten- 
sion of the Sockeye Salmon Fisheries of the Fraser River 
System 40,000 00 

Expenditures 39,886 30 

L «r>srd $ 113 70 

Estim ■ Allotment- 

details authorized Expenditures 

A Salaries and Wages 21,964 00 23.635 00 23.630 57 

B Printing and Stationery- 500 00 500 00 450 64 

C Travelling Expenses 5.353 6.603 00 6.570 97 

D Sundries 12.18:] 00 9.262 00 9.23112 

S 40,000 00 $ 40,000 00 S 39.SS6 30 



120 AUDITOR GENERAL'S REPORT 

Comments on Expenditures 

The Treaty between the United States and Canada is designed to enable interna- 
tional control for the preservation of the Sockeye Salmon Fishery of the Fraser River 
and waters contiguous thereto. The Commission is required to make all necessary study 
and investigation in relation to the fishery to the end of regulating fishing. 

The Treaty provides that each country appoint three commissioners, each country pay 
the salaries and expenses of its own appointees and one-half the joint expenses incurred 
by the Commission. The work is carried out by Canada. 

The total disbursements for the year amounted to $79,697.60, of which the Canadian 
portion was $39,886.30 and the United States portion $39,811.30. Of the United States 
portion, $20,054.22 has been repaid and the balance, $19,757.08, plus premium on exchange, 
$1,973.24, transferred to the recoverable Pacific Salmon Treaty, Special Account in the 
Public Accounts. 
A The following employees were receiving annual salaries of $2,400 or over at March 31 

1942: W. F. Thompson, director, $7,500; F. H. Bell (see Vote 77) j J. L. Kask, $3,360; 

M. B. Schaefer, $2,820; G. Shirk (see Vote 77). 
C Travelling expense payments of $300 or over were: C. E. Atkinson, $692.03; F. H. Bell, 

$328 95- T C. Broughton, $308.95; H. L. Connor, $319.77; L. R. Donaldson, $333.96; 

D R. Johnson, $553; J. L. Kask, $742.13; A. E. Peterson, $607.71; M. B. Schaefer, 

$590.90; W. P. Thompson, $1,232.46; W. Tomkinson, $557.58; H. S. Tremper, $712.28; 

A. D. Welander, $493.58; L. E. Whitesel, $439.68. 
D Includes charter of vessels Clara M. from L. J. Sandhaaland, $495; Laila from B. Peterson, 

$1,955; and Phylima from J. J. Goodie, $360; purchase of sockeye salmon for tagging, 

etc., $3,491.34; rewards for fish tags, $2,459.12. 

Vote 79 Grant to United Maritime Fishermen's Association $ 3,000 00 



Comments on Expenditures 

The grant was given for the purpose of assisting in the circulation of information 
to fishermen to enable them to carry on their work more efficiently and so derive greater 
remuneration from their efforts, and to encourage co-operative activities amongst fisher- 
men. Payment was made in quarterly instalments under authority of Treasury Board 
Minute T209574B of July 10, 1941. 

Vote 80 Transportation, dressing and dyeing, and other expenses inci- 
dental to receiving and disposing of fur seal skins accruing 
to Canada pursuant to the Pelagic Sealing Treaty, 1911. . 120,000 00 
Expenditures 93,941 32 



Lapsed $ 26,058 68 



Comments on Expenditures 

The following amounts were paid: Canadian National Railways, freight and ocean 
charges, $3,315.38; Collector of Customs and Excise, Montreal, $18,100.98; C. W. Martin 
& Sons, Ltd., London, England, dressing, dyeing and finishing seal skins including incidental 
shipping charges, $72,028.58; sundries, $496.38. 

Vote 81 Destruction of Harbour Seals 15,000 00 

Expenditures 11,794 50 



Lapsed $ 3,205 50 

Purpose for which Vote was Used 

A bounty of $2.50 per head for the destruction of hair seals which had become a 
menace to salmon fishing was paid as follows: East Coast, $6,095; West Coast, $5,699.50. 



DEPARTMENT OF FISHERIES 



Fishing Bounty, c. 74, R.S. 



121 
$ 159,959 60 



Comments on Expenditures 

Under authority of the Deep Sea Fisheries Act, the Governor in Council may authorize 
the payment, out of the Consolidated Revenue Fund of Canada, of an annual grant not 
faceeding one hundred and sixty thousand dollars, to aid in the development of the sea 
fisheries of Canada, and the encouragement of the building and fitting out of improved 
fishing vessels, and the improvement of the condition of the fishermen. 

Provision was made under the authority of Order in Council P.C. 1391, dated February- 23, 
1912, that the sum of $160,000 be distributed for the year 1941-42 upon the following basis:— 

Vessels: The owners of the vessels entitled to receive bounty shall be paid SI per 
registered ton, provided, however, that the payment to the owner of any one vessel shall 
not exceed the sum of $80, and all vessel fishermen entitled to receive bounty shall be 
paid the sum of $7.90 each. 

Boats: Fishermen engaged in fishing boats, who shall also have complied with the 
regulations entitling them to receive bounty, shall be paid the sum of $7.40 each, and 
the owners of fishing boats shall be paid the sum of $1 per boat. 

According to information received from the Department, the bounty was distributed 
as shown in the following statement which includes a number of late claims of 1940-41 : — 



Province and County 


Boats 


Men 


Amount 


Vessels 


Men 


Amount 


Total 


No\ a Scotia — 


151 

118 
204 
4 
285 
461 
676 
208 

51 
567 

24 
150 
400 
569 
228 

97 


232 
168 
318 
4 
498 
718 
877 
553 

56 
685 

40 
226 
683 
859 
347 
196 


$ cts. 
1,867 00 
1,358 80 
2,543 00 
33 60 
3,967 80 
5,771 00 
7,144 20 
4,279 40 

465 40 
5,625 60 

318 40 
1,808 00 
5,435 80 
6,887 20 
2,786 20 
1,534 60 






S cts. 


$ cts. 
1,867 00 










1,358 80 




29 


130 


1,473 00 


4,016 60 




33 60 


Digby 


34 

33 

31 

7 


73 
106 
139 

37 


1,037 70 

1,298 40 

1,703 10 

369 30 


5,005 50 




7,069 40 


Halifax 


8,847 30 




4,648 70 
465 40 




Lunenburg 


61 


1,096 


12,037 40 


17,663 00 




318 40 




12 
11 
93 
12 
76 


47 
29 

387 
38 

218 


522 30 
361 10 

4,622 30 
471 20 

2,829 20 


2,330 30 


Richmond 


5,796 90 


Shelburne 


11,509 50 




3,257 40 


\ armouth 


4,363 80 






New Brunswick — 

( harlotte 


4,193 

193 

428 

172 

27 

2 

11 

26 


6,460 

353 

786 

292 

46 

4 

14 

49 


51,826 60 

2,778 00 

6,190 80 

2,328 80 

401 00 

31 60 

114 60 

480 40 


399 

14 

125 

9 

11 


2,300 

42 
499 

24 

21 


26,725 00 

513 80 

6,257 10 

286 60 

280 90 


78,551 60 
3,291 80 


(Iloucester 


12,447 90 


Kent 


2,615 40 


Northumberland 


681 90 




31 60 


St. John 








114 60 










480 40 












Prince Edward Island — 


859 

242 
424 
139 


1,544 

325 

769 
246 


12,325 20 

2,625 40 
5,997 80 
1,940 20 


159 


686 


7,338 40 


19,663 60 
2,625 40 


Pi ime 








5,997 80 


Queens 








1,940 20 














805 

376 

2,035 
133 
679 


1 , 340 

700 

4,070 

242 

1,208 


10,563 40 

5,527 20 

32,026 60 

1,876 60 

9,512 60 








10,563 40 


(iu i bsc — 
Bonaventure 


11 
39 


44 
166 


464 60 
1.773 40 


5, Ml 80 


( 'aspe 


33,800 00 


Matane 


1,876 60 


Saguenay 








9,512 60 


















48,943 00 


50 


£10 


2,238 00 


51,181 00 




9,080 


15,564 


123,658 20 


608 


3,096 


36,301 40 


159,959 60 



59727—9 



122 AUDITOR GENERAL'S REPORT 



SPECIAL 



Vote 82 Extension of Educational Work in Co-operative Producing and 

Selling among Fishermen 25,000 00 

Expenditures 24,692 44 



Lapsed $ 307 56 



Comments on Expenditures 

Under P.C. 4180 of August 24, 1940, expenditures were authorized for educational 
work in the nature of lectures by professors in biology and economics among the fisher- 
men in the smaller communities, and for a short term course for selected young fishermen 
from the Maritime Provinces and the Magdalen Islands at St. Francis Xavier University. 
The following allocations were authorized: St. Francis Xavier University, Antigonish, Nova 
Scotia, for the Maritime Provinces, $19,500; College of Ste. Anne de la Portiere, Quebec, 
for Gaspe Peninsula and the north shore sections of Quebec, $3,000; University of British 
Columbia, Vancouver, $2,500 for the Province of British Columbia. 

A summary of the payments totalling $24,692.44 follows: St. Francis Xavier University, 
Antigonish, $19,352.80; College of Ste. Anne de la Pocatiere, Quebec, $3,000; University 
of British ' Columbia, Vancouver, $2,194.44; King's Printer, Ottawa, stationery, $145.20. 

Vote 83 Assisting the Salt Fish Branch of the Fishing Industry 400,000 00 

Expenditures 594 70 

Lapsed $ 399,405 30 



Comments on Expenditures 

Under the authority of sections 5 and 6 of the Salt Fish Board Act of 1939 the Governor 
in Council approved of a plan determined by the Salt Fish Board to be necessary to ensure 
that assistance given exporters reaches the fishermen-producers, thus establishing the con- 
tinuance of production. A summary of' the deficiency payments by provinces and counties 
follows : — 

Province and County Claims Amount 

Nova Scotia: 

Cape Breton 2 36 10 

Guysboro 3 11 38 

Halifax 2 11 42 

Inverness 1 9 00 

Lunenburg Schooners 1 99 69 

Shelburne Schooners 1 10 29 

177 88 

Prince Edward Island: 

Kings 1 20 00 

New Brunswick: 

Gloucester 3 239 94 

Quebec: 

Gaspe 7 135 63 

Magdalen Islands 1 21 25 156 88 

$594 70 



GOVERNOR GENERAL AND LIEUTENANT- 
GOVERNORS 

APPROPRIATIONS AND EXPENDITURES 

A total of $233,446.48 was available for expenditure on account of the Office of Secretary 
to the Governor General, of which $103,780 was provided in the annual appropriation acts, 
and $129,666.48 was authorized by continuing statutory provisions. Expenditures were 
$225,925.25 for the fiscal year 1941-42. an increase of $13,204.80 over those of $212,720.45 
in 1940-41. 

No. of 

Vote Services Appropriations Expenditures Lapsed 

Statutory Salary of Governor General — 
Governor General's Act, c. 85, 
R.S 48,666 60 48,666 60 

Statutory Salaries of the Lieutenant- 
Governors — Salaries Act, c. 182, 
R.S. 

Alberta 9,000 00 9,000 00 

British Columbia 9,000 00 9,000 00 

Manitoba 9,000 00 9,000 00 

New Brunswick 9.000 00 9,000 00 

Nova Scotia 9,000 00 9.000 00 

Ontario 9,999 96 9,999 96 

Prince Edward Island 6,999 96 6,999 96 

Quebec 9,999 96 9,999 96 

Saskatchewan 9,000 00 9,000 00 

S4 Office of the Secretary to the 
' Governor General, including 
allowance of $2,500 per annum 
to the Secretary to the Gov- 
ernor General 103,780 00 96,258 77 7,521 23 

Total Ordinary Expenditures $ 233,446 48 $ 225,925 25 $ 7,52123 



These accounts have been examined and 
Certified correct. audited under my direction, in acordance 

with the provisions of the Consolidated 

B. G. McINTYRE, Revenue and Audit Act, and subject to the 

Comptroller of the Treasury. observations in this report, I certify that in 

my opinion they are correct. 

WATSON SELLAR, 

Auditor General. 

Salary of the Governor General — The Governor General* s Act, c. 85, R.S. . . $48,666 6Q 



Comments on Expenditures 

The above Act provides that there shall be payable yearly to the Governor General a 
salary of £10,000 sterling, equal to S4S.606.66. Salary was paid to His Excellency The Earl 
of Athlone. 

Salaries of the Lieutentuil-Gov<>rnors — The Salaries Act, c. 182, R.S $80,999 88 



The above Act provides that the salaries of the lieutenant-governors of the several 

provinces shall be as follows: Ontario, S10,000; Quebec, $10,000; Nova Scotia, $9,000; New 

Brunswick, S ( J,0U0; Manitoba, S9,000; British Columbia, $9,000; Prince Edward Island, 
$7,000; Saskatchewan, $9,000; Alberta, $9,000. 

123 
59727— 9i 



124 AUDITOR GENERAL'S REPORT 

Comments on Expenditures 

These salaries are paid by certificates which are convertible monthly on or after the last 
day of each month. 

Vote 84 Office of the Secretary to the Governor General including 
allowance of $2,500 to the Secretary to the Governor 

General 103,780 00 

Expenditures 96,258 77 

Lapsed $ 7,521 23 



Estimates Allotments 

details authorized Expenditures 

A Salaries 31,020 00 31,550 00 31,548 60 

B Allowances 2,500 00 2,500 00 2,500 00 

C Printing and Stationery 8,000 00 7,470 00 2,241 33 

D Sundries 62,260 00 62,260 00 59,968 84 

$ 103.780 00 $ 103,780 00 $ 96,258 77 



Comments on Expenditures 

A As of March 31, 1942, there were 12 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date: Sir Shuldham Redfern, Secretary 
to the Governor General, $5,000; P. B. Brodrick, $2,700; H. S. Graham, $3,000; F. L. C. 
Pereira, $5,220. Aides-de-Camp were paid $4,299.96. 

B An allowance of $2,500 was paid to Sir Shuldham Redfern as Secretary to the Governor 
General. 

D A travelling allowance at the rate of $50,000 per annum under the provisions of P.C. 
40/1803 of July 10, 1914, was paid to the Governor General. Accounts for travel amounted 
to $572.16 and included payments to H. S. Graham of $344.81. Charges in connection with 
the Governor General's Railway Cars, including repairs, were $4,700.98. 



DEPARTMENT OF INSURANCE 
REVENUES 

Summary 

1941^ 2 1940-41 

Ordinary Revenue — 
Insurance Superintendence $168,693 22 $182,455 04 

Details 

Insurance Superintendence — 

A Assessments paid by insurance companies 157,106 01 

B Assessments paid by loan companies 3,447 94 

C Assesments paid by trust companies 3,540 32 

D Assessments paid by small loans companies 3,554 75 

167,649 02 

E Penalties 1,042 00 

F Miscellaneous 2 20 



% 168.693 22 



Certified correct. 

G. D. FINLAYSON, 
Superintendent of Insurance 



In accordance with the provisions of 
section 45 (1) of the Consolidated Revenue 
and Audit Act I have satisfied myself that 
the above revenues for 1941-42 have been 
fully accounted for. 



WATSON SELLAR, 
Auditor General. 



Comment on Revenues 



Under the provisions of the Department of Insurance Act, c. 45, 1932, the expenditure 
incurred by the Dominion during each fiscal year in connection with the administration of 
the Canadian and British Insurance Companies Act, c. 46, 1932, the Foreign Insurance 
Companies Act, c. 47, 1932, the Loan Companies Act, c. 28, R.S., the Trust Companies Act, 
c. 29. R.S., the Small Loans Act, c. 23, 1939 and amendments, is assessed against the 
companies transacting business thereunder, in the proportion which the net premiums in 
Canada or income of each bears to the total amount of such premiums or income received 
during the preceding calendar year. 

Expenditures for the fiscal year 1940-41 were $166,621.50, and estimated rent, char service, 
lighting and sundries charged to Public Works Department, Vote 283. amounting to 
$10,819.48, and a further amount of SI, 128.49 representing one-third of the salary and 
travelling expenses of one official for 1939-40 which was not assessed at all in that year, were 
added, making a grand total of $178,569.47. An amount of S10,995.09, comprised of 
salaries on account of Civil Service Insurance administration, etc., S5,3S3.S9; revenue from 
sale of publications, $311.20; work done for other departments, $4,000; and net penalties 
received, SI. 300. was deducted, leaving a net amount of $167,574.38 to be assessed against 
the companies. 

The assessment against small loans companies was made for the first time in pursuance 
of section 10 of the Small Loans Act, c. 23, 1939. The full amount of assessment levied was 
collected during the fiscal year. In addition, $74.64 was received, of which S71.18 represented 
a payment in respect of an insurance assessment for expenses of the fiscal year 1935-36. 
The balance consisted of bank exchange and exchange premiums on cheques payable in 
United States funds. 

Penalties amounting to $5,192 were received during 1941-42 from companies which did not 
file the business statements called for under the terms of the Acts in the required time. 
Amounts totalling $4,150 were subsequently remitted by the Governor in Council under 
the provisions of section 33 of the Consolidated Revenue and Audit Act, c. 27, 1931. 



125 



126 



AUDITOR GENERAL'S REPORT 



APPROPRIATIONS AND EXPENDITURES 

A total of $181,970, provided in the annual appropriation acts, was available for expendi- 
ture on account of the Department of Insurance. Expenditures were S180,924.28 for the 
fiscal year 1941-42, an increase of $4,216.91 compared with those of 1940-41. 



No. of 
Vote 



85} 
478 f 



Services 



Departmental Administration 
Fire Prevention 



Appropriations Expenditures Lapsed 



Certified correct. 



B. G. McINTYRE, 

Comptroller of the Treasury. 



171,390 00 
10,580 00 



170,889 92 
10,034 36 



500 08 
545 64 



$ 181,970 00 $ 180,924 28 



1.045 72 



These accounts have been examined and 
audited under my direction in accordance, 
with the provisions of the Consolidated 
Revenue and Audit Act, and subject to the 
observations in this report, I certify that 
in my opinion, they are correct. 

WATSON SELLAR, 
Auditor General. 



Vote 85 Departmental Administration $ 168,890 00 

Vote 478 Further amount required 2,500 00 

171,390 00 

Expenditures 170,889 92 

Lapsed $ 500 08 

Estimates Allotments 

details authorized Expenditures 

A Salaries 124,170 00 123,320 00 123,087 73 

B Printing and Stationery 5,500 00 6.350 00 6,223 55 

C Printing Annual Reports 18,620 00 18,520 00 18,499 15 

D Travelling Expenses 17,300 00 17,400 00 17,368 82 

E Valuation of Securities 4,800 00 4,800 00 4,800 00 

F Sundries 1,000 00 1,000 00 910 67 



$ 171,390 00 $ 171,390 00 $ 170,889 92 



Comments on Expenditures 

The purpose of this vote was to provide for the supervision and inspection of Canadian, 
British and foreign insurance companies, and the administration and enforcement of the 
Canadian and British Insurance Companies and Foreign Insurance Companies Acts; the 
administration of the Loan Companies, Trust Companies and Small Loans Acts, and the 
superintendence and examination of companies operating thereunder; the administration of 
the Civil Service Insurance Act; and the collection of insurance, loan, trust and small loans 
companies superintendence assessments and of Special War Revenue Taxes on insurance 
written in Canada or placed with unregistered companies. The latter taxes are included in 
the revenues of the Department of Finance. 

A As of March 31, 1942, there were 46 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date, or at date of separation (shown in 
brackets): G. D. Finlayson, Superintendent of Insurance, $10,000; C. R. Brereton, $3,000; 
W. Dargavel, $4,620; G. C. Gardner, $3,480; W. H. Gilliland, $6 ; 900; A. D. Jamieson, 
$4,620; K. R. MacGregor, $4,440; L. Mallen, $2,760; W. R. McDonald, $4,620; K. M. 



DEPARTMENT OP INSURANCE 127 

Mcllraith, 12,640; G. D. McKinney, $2,400 (Oct. 16 noon); O. L. Palmer, $3,000; J. R. E. 
Patterson, $3,960; C. A. Ranson, $3,960; G. F. Waites, $2,640 (Feb. 5); R. W. Walker, 
$2,640; R. W. Warwick, $5,040; A. 1). Watson, $6,000. 

B C These amounts were paid to the King's Printer. 

D Travelling expenses in excess of S300 per person were paid as follows: C. R. Brereton, 
$1,446.23; W. Dargavel, $1,619.66; W. H. Gilliland, $1^31.45; A. 1). Jamieson, $1,76751; 
W. A. Keltie, $425.23; W. R. McDonald, si.423.31; K. M. Mcllraith, 81,447.25; G. D. 
McKinney, $30355; J. R. E. Patterson, SS75.47; C. A. Ranson, $1,267; A. G. Robertson, 
SI,'-'""; II. W. Stinson, Sl.524.09; R. H. Tallman, $315.16; G. F. Waites, $969.79; 
R. W. Walker, $643.30. 

E This amounl was comprised of the following payments: K. M. Pringle, $3,500; King's 
Printer, $1,300. 

Vote 86 Expenses of work in the interests of Fire Prevention 10,580 00 

Expenditures - 10,034 36 



Lapsed $ 545 64 



A Salaries 5,820 00 5.915 28 5,915 28 

B Printing and Stationery 3,160 00 1,312 18 1,306 36 

C Travelling Expenses 600 00 600 00 415 62 

D Sundries 1,000 00 2,752 54 2,397 10 



Estimates 
details 


Allotments 
authorized 


5,820 00 

3,160 00 

600 00 

1,000 00 


5.915 28 

1,312 18 

600 00 

2,752 54 



Expenditures 



$ 10.5S0 00 S 10,580 00 $ 10,034 36 



Comments on Expenditures 

A As of March 31, 1942, there were 2 employees paid from this vote. The following was 
receiving an annual salary of $2,400 or over on that date: W. L. Clairmont, Dominion Fire 
Prevention Commissioner, $4,200. 

B This expenditure consisted of payments to the King's Printer. 

C Travelling expenses in excess of $300 were paid as follows: W. L. Clairmont, $383.36. 

D This amount included a payment of $1,847.82 to Associated Screen News Limited. 



DEPARTMENT OF JUSTICE 



REVENUES 

Summary 

1941-42 
Ordinary Revenue — 

Penitentiaries 193,038 79 

Casual 18,926 59 

Fines and Forfeitures 227 75 



1940-41 

161,298 61 

18,276 44 

532 58 



$ 212,193 13 $ 180,107 63 



Details 

Penitentiaries : 

Dorchester 29,925 55 

St. Vincent de Paul 46,872 76 

Collin's Bay 4,711 70 

Kingston 57,279 97 

Manitoba 24,226 76 

Saskatchewan 18,096 34 

British Columbia 11,925 71 

193,038 79 

Casual Revenue: 

Penitentiaries: Dorchester, $304; St. Vincent de Paul, $2,408; Collin's Bay, 
$457.23; Kingston, $2,020; Manitoba, $188.92; Saskatchewan, $715.65; 

British Columbia, $750.70 6,844 50 

Sale of Canada Law Reports 11,990 00 

Sheriff's fees, Yukon Territory 92 09 

18,926 69 

Fines and Forfeitures: Yukon Territory, $75; 

Penitentiaries, $152.75 227 75 

$ 212,193 13 



Certified correct. 



F. P. VARCOE, 

Deputy Minister. 



In accordance with the provisions of 
Section 45 (1) of the Consolidated Revenue 
and Audit Act, I have satisfied myself that 
the above revenues for 1941-42 have been 
fully accounted for. 

WATSON SELLAR, 

Auditor General. 



Comments on Revenues 

The penitentiary revenues include $88,577.91, the estimated value of the produce from 
penitentiary farms which was used at the penitentiaries. 

The Department of the Secretary of State paid $5,800.95 for the maintenance of War 
internees in Kingston Penitentiary, of which $1,224.46 was credited to Vote 97, "Maintenance 
and operation of penitentiaries" and $4,576.49 to Casual Revenue. 

During the fiscal year 1941-42, produce valued at $18,904 was transferred without cost to 
other Government Departments, National Defence and Royal Canadian Mounted Police. 



128 



DEPARTMENT OF JUSTICE 129 

APPROPRIATIONS AND EXPENDITURES 

Amounts totalling S5.744.539.26 were available for expenditure on account of the 
Departmenl of Justice of which S3 ,385,1 14 was provided in the annual appropriation Acts 
and S2.359-425.26 was authorized by continuing statutory provisions. Expenditures for 1941-42 
were $5,443,664.65, an increase of $16,023.23 as compared with the expenditure of $5,427,641.42 
in 1910-41. 

In addition a total of S109,805 was allotted to the Department from the War Appropria- 
tion. Expenditures thereunder amounting to $60,149.65 are shown in the War Expenditures 
Bection of this report. 

No. of 
Vote Services Appropriations Expenditures Lapsed 

Statutory Salary of Minister, Salaries Act, 

c. 182, R.S 9,646 97 9,646 97 

Statutory Motor Car Allowance to Minister, 
Appropriation Act, No. 5, c. 61, 
1931 1,929 37 1,928 37 

87 Departmental Administration .... 154,440 00 130,293 81 24,146 19 

88 Remission Service 50,000 00 45,105 68 4,894 32 

89 Administration of Justice — 

Miscellaneous Expenditure 6,000 00 5,717 71 282 29 

90 Expenses of litigated matters .... 25,000 00 6,065 78 18,934 22 

91 Annual Contribution to Canadian 

Law Library, London, Eng 500 00 488 32 11 68 

THE COURTS 
Statutory Supreme Court of Canada — 

Judges' Salaries, c. 105 R.S 87,000 00 87,000 00 

Statutory Exchequer Court of Canada — 

Judges' Salaries and travelling 

allowances, Admiralty Judges, 

c. 105, R.S 24,346 99 24,346 99 

Statutory Yukon Territorial Court — 

Judge's Salary, Judges Act, 

c. 105, R.S 2,250 00 2,250 00 

Statutory Other Courts, Judges' Salaries and 
travelling allowances, Judges Act, 
c. 105, R.S 1,962,450 41 1,962,450 41 

92 Supreme Court of Canada — 

Administration 71,180 00 67,285 43 3,894 57 

93 Exchequer Court of Canada — 

Administration 34,355 00 32,176 20 2,178 80 

94 Yukon Territorial Court — 

Administration 5,040 00 2,823 67 2,216 33 

95 Gratuities to the widows or any 

dependent children of Judges who 

die while in office 15,000 00 7,166 66 7,833 34 

PENITENTIARIES BRANCH 

96 Branch Administration 110,350 00 54,813 07 55,536 93 

97 Operation and Maintenance of 

penitentiaries, etc 2,912,6S5 00 2,731,739 06 180,945 94 

59727—10 



130 AUDITOR GENERAL'S REPORT 

No. of 
Vote Services Appropriations Expenditures Lapsed 



PENSIONS AND OTHER BENEFITS 
Statutory Pensions to retired Judges, Judges 



Pension to William Tatton 



269,801 60 


269,801 60 


564 00 


564 00 


600 00 


600 00 


499 92 


499 92 



Statutory Pension to Mrs. Violet L. Jenkin, 
Appropriation Act, c. 76, 1927 

Statutory Pension to Mrs. Alice Joynson, 
c. 11, 1914 

Statutory pension to Mrs. Jean Laird 
Farrell, Appropriation Act, c. 76, 
1927 600 00 600 00 

Statutory Pension to dependent children of 
the late penitentiary guard, 
J. Williams, Appropriation Act, 
c. 45, 1938 300 00 300 00 



$5,744,539-26 $5,443,664 65 $ 300,874 61 



Certified correct. _. , L . . . , 

The above accounts have been examined 

B. G. McINTYRE, and audited under my direction in accord- 

Comptroller of the Treasury. ance with the provisions of the Consolidated 

Revenue and Audit Act, and subject to 

the observations in this report, I certify 

that in my opinion they are correct. 

WATSON SELLAR, 
Auditor General. 

Salary of Minister at $10,000, Salaries Act, c. 182, R.S $ 9,646 97 



Motor car allowance to Minister at $2,000, Appropriation Act No, 5, 

c. 61, 1931 $ 1,929 37 



The Right Hon. E. Lapointe was paid from Apr. 1 to Nov. 26, inclusive, and the Hon 
L. S. St. Laurent from Dec. 10 to Mar. 31. 

Vote 87 Departmental Administration 154,440 00 

Expenditures 130,293 81 



Lapsed $ 24,146 19 



Estimates Allotments 

details authorized Expenditures 

A Salaries 138,840 00 138.840 00 118,446 91 

B Printing and Stationery 5,000 00 5,000 00 4,313 00 

.C Sundries, including travelling expenses, 

telegrams, telephones, etc 10,600 00 10,600 00 7,533 90 



$ 154,440 00 $ 154,440 00 $ 130,293 81 



Comments on Expenditures 

A As of March 31, 1942, there were 49 employees paid from this vote. The following 
were receiving annual salaries of $2,400 or over on that date, or at date of separation (shown 
in brackets): W. S. Edwards, Deputy Minister, Apr. 1 to Sept. 30, $10,000; F. P. Varcoe, 



DEPARTMENT OF JUSTICE 



131 



Deputy Minister, Oct. 1 to Mar. 31, $10,000; P. M. Anderson, $5,700; M. Bernier, 53,420, 
secretarial allowance, $600; P. Fontaine, $6,700; I:. Forsyth, $5,700; I'. Gibeault, $4,200; 
B. Godbout, $3,000; W. R. Jackett, 12,880; J. F. MacNeill, $5,700 (Feb. I); B. Miall, 
$8,000; I). W. Mundell, $2,780; J. J. Olteary, $2,400; R. A Olmstead, $4,700; C. Stein, 

$2,SS(). 

C Travelling expenses include Righl Hon. E. Lapointe, $800; Hon. Louis St. Laurent, $200; 
M. Bernier, $912.02. $150. authorized by Treasury Hoard Minute, T.216457B., o 
travelling expenses of six employees of t ho Minister's Office attending the funeral of Right 
Hon. E. Lapointe; communications cost, $4,452.62. 



Vote 88 Remission Service 50,000 00 

Expenditures 45,105 68 

Lapsed $ 4,894 32 

Estimates Allotments 

details authorized Expenditures 

A Salaries 32,000 00 31,4.7178 28,727 43 

B Printing and Stationery 2,000 00 2,000 00 1,059 81 

C Sundries, including travelling expenses, 

telegrams and telephones, etc 3,500 00 4,028 22 4,028 03 

D Remuneration to Royal Canadian Mounted 

Police for assistance 1,600 00 1,600 00 1,280 40 

E Reimbursement to Royal Canadian Mounted 

Police Force 1 for assistance 10,900 00 10,900 00 10,010 01 



$ 50,000 00 S 50,000 00 S 45,105 68 



Comments on Expenditures 

A As of March 31, 1942, there were 15 employees paid from this vote. The following were 
receiving annual salaries of 82,400 or over on that date: A. B. Boulanger, $2,400; M. F. 
Gallagher, $6,440: C. S. Guthrie, $3,000; T. S. Waldron, $3,000. 

C Travelling expenses over $300 were, M. F. Gallagher, $2,209.92; D. Wilson, $365.75. 

D E Services and expenses of Royal Canadian Mounted Police officials, in connection with 
prisoners on parole, etc. 



Vote 89 



Administration of Justice, Miscellaneous Expenditure 

Expenditures . . 

Lapsed $ 



6,000 00 
5,717 71 

282 29 



Comments on Expenditures 

Taking and transcribing evidence cost, $2,757.22; legal and travelling expenses incurred 
for trials of Eskimos at Belcher Island, SI. 244.59; fees and expenses of alienists for examina- 
tion of persons convicted of murder, $1,098.95. 



Vote 90 



Expenses of Litigated Matters 25,000 00 

Expenditures 6.065 78 

Lapsed $ 18,934 22 



Comments on Expenditures 

Expenditures include $149 for bar fees, $600 for law stamps and $5,217.75 for legal 
services, A. Geoffrion, K.C., Montreal, received $2,768, W. J. Lindal, K.C.. Winnipeg, 
11,797.75. 

59727— 10* 



132 AUDITOR GENERAL'S REPORT 

Vote 91 Annual contribution to the Canadian Law Library, London, 

England 500 00 

Expenditures 488 32 

Lapsed $ H 68 



Comments on Expenditures 

Expenditures include grant of $350 to the Canadian Law Library, London, England. 

THE COURTS 

Supreme Court of Canada, Judges 9 Salaries, Judges Act, c. 105, R.S 87,000 00 

Exchequer Court of Canada, Judges* Salaries and travelling allowances, 

Admiralty Judges, Judges Act, c. 105, R.S , 24,346 99 

Yukon Territorial Court, Judge's Salary, Judges Act, c. 105, R.S 2,250 00 

Other Courts, Judges 9 Salaries and travelling allowances, Judges Act, 

c. 105, R.S 1,962,450 41 

$2,076,047 40 



Comments on Expenditures 

The Judges' Act, c. 105, R.S., directs that the salaries of Judges be a charge to 
Consolidated Revenue Fund and paid as follows: 

Supreme Court of Canada: Chief Justice, $15,000; 6 puisne Judges, each $12,000. 
Exchequer Court of Canada: President, $10,000; 1 puisne Judge, $9,000. 

Local Judges in Admiralty of the Exchequer Court, one Judge in each district, Nova 
Scotia, New Brunswick, Quebec and British Columbia, each, $1,000; Prince Edward Island, 
$800; Toronto, $600. 

Yukon Territorial Court: 1 Judge, $9,000. 

Nova Scotia: Chief Justice, $10,000; Judge in Equity and 5 puisne Judges, each, $9,000; 
Judge of the Court of Divorce and Matrimonial Causes, $500; 7 County Court Judges, each, 
$5,000. 

Prince Edward Island: Chief Justice, $10,000; 2 assistant Judges, each, $9,000; 3 County 
Court Judges, each, $5,000. 

New Brunswick: Chief Justice of New Brunswick and Chief Justice of the Court of 
King's Bench Division, each, $10,000; 2 puisne Judges of the Court of Appeal and 3 puisne 
Judges of the King's Bench Division, each $9,000; Judge of the Court of Divorce and 
Matrimonial Causes, $500; 6 County Court Judges, each, $5,000. 

Quebec: Chief Justice, Court of King's Bench and Chief Justice of Superior Court, each, 
$10,000; the puisne Judge of the Superior Court appointed to perform duties of the Chief 
Justice in the district as constituted for the Court of King's Bench (sitting in Appeal) , within 
which the Chief Justice does not reside, $10,000; 11 puisne Judges of the Court of King's 
Bench and 35 puisne Judges of the Superior Court, each, $9,000; Circuit Court, Senior Judge, 
$8,000; 3 Judges, each $7,000. 

Ontario: Chief Justice of Ontario and Chief Justice of High Court, each, $10,000; 7 
Justices of Appeal, each, $9,000; 12 Justices of the High Court, each, $9,000; 75 Judges and 
Junior Judges, each, $5,000. 

Manitoba: Chief Justice of the Court of Appeal and Chief Justice of the Court of King's 
Bench, each, $10,000; 4 puisne Judges of the Court of Appeal and 5 puisne Judges of the 
Court of King's Bench, each, $9,000; 9 County Court Judges and 1 Junior County Court 
Judge, each, $5,000. 

Saskatchewan: Chief Justice of Saskatchewan and Chief Justice of the Court of King's 
Bench, each, $10,000; 4 puisne Judges of the Court of Appeal and 6 puisne Judges of the 
Court of King's Bench, each, $9,000; 18 District Court Judges, each, $5,000. 



DEPARTMENT OF JUSTICE 



133 



Alberta: Chief .Justice of Alberta and Chief Justice of the Trial Division, each, £10,000; 
1 Justices of Appeal and S Justices of the Supreme Court, each, S9,000; 12 District Court. 
Judges, each, $5,000. 

British Columbia: Chief Justice of the Court of Appeal and Chief Justice of the 

Supreme Court, each, $10,000; 4 Justices of Appeal and 5 puisne Judges of the Supreme 
Court, each, $9,000; 14 Judges and Junior Judges of the County Courts, each, 16,000. 

Section 21 of the Judges Act provides a per diem allowance of $10 in Cities and $6 else- 
where, plus moving or transportation expenses, to a Judge of the Exchequer, Superior and 
County Courts during periods he is attending at any place other than that at which he is, by 
law, obligated to reside. Payments for travelling allowances amounting to $131,931.06 were 
made a charge to the Consolidated Revenue Fund. Travelling expenses of Judges of the 
Exchequer Court of Canada, amounting to $1,679.06 were charged to Vote 101. 

Each Judge of a District Court in Ontario by Section 22, subsection 4 of the Judges 
Act receives $500 per annum as a travelling allowance, and such payments in 1941-42 were 
made to 12 judges. 

Although Section 21 of the Judges Act states that the travel allowance to a Superior 
Court Judge shall he "in addition to his moving or transportation expenses", this was not 
applied to Judges travelling between Quebec and Montreal who were paid on a basis of S25 
for transportation expenses, nor to Judges travelling between Vancouver and Victoria who 
were paid on a basis of S15. 

The Judge for the Yukon Territory was retired as of June 1, 1941. Mr. J. E. Gibben 
was appointed stipendiary magistrate on Aug. 14, 1941, under authority of the Yukon Act, 
c. 30, 4-5 George V at a salary of $4,500 per annum (Payable from Department of Mines 
and Resources, Votes 136 and 489 in 1941-42). 

The following statement shows the amounts charged to Consolidated Fund for the 
salaries of Judges and travel allowances of the several courts: — 

Judges' Travel 

salaries allowances Total 

Supreme Court of Canada 87,000 00 87,000 00 

Exchequer Court of Canada 18,999 96 18,999 96 

Local Judges in Admiralty 5,182 03 165 00 5,347 03 

Yukon Territorial Court 2,250 00 2,250 00 

llS^Sl 99 165 00 113,596 99 

Nova Scotia: 

Supreme Court 63,166 63 2,108 41 65,275 04 

Divorce Court 499 92 499 92 

County Courts 34,166 12 4,595 20 38,761 32 

Prince Edward Island: 

Supreme Court 27,999 96 31 60 28,031 56 

County Courts 14,999 76 193 14 15,192 90 

New Brunswick: 

Supreme Court, Appeal Division 27,999 96 1,343 06 29,343 02 

Supreme Court, King's Bench Division.... 27,000 00 3,142 14 30,142 14 

Divorce Court 499 92 499 92 

County Courts 29,999 52 5,520 72 35,520 24 

Quebec : 

Court of King's Bench 102,978 46 5,090 00 108,068 46 

Superior Courts 324,790 24 26,755 83 351.546 07 

Circuit Court (Montreal) 28,999 80 28,999 80 

Ontario : 

Court of Appeal 72,977 46 1,004 00 73,981 46 

High Courts 118,749 96 12,523 58 131,273 54 

County Courts 252,267 47 11,444 21 263.71168 

District Courts 59,582 38 5,957 38 65,539 76 

Manitoba: 

Court of Appeal 45,999 96 45,999 96 

Court of King's Bench 45,999 96 2,023 00 48,022 96 

County Courts 47,543 60 4,63174 52,175 31 

Saskatchewan: 

Court of Appeal 45,999 95 45.999 95 

Court of King's Bench 64,007 46 3,282 98 67,290 44 

District Courts 88,748 58 5,252 94 94,001 52 



134 



AUDITOR GENERAL'S REPORT 



Alberta : 

Supreme Court, Appeal Division 

Supreme Court, Trial Division 


Judges' 
salaries 

43,749 98 
54,999 96 
44,582 62 

41,588 68 

53,623 63 

67,162 43 

1,830,684 35 


Travel 
allowances 

3,197 03 
8,921 87 
9,738 76 

3,892 50 

2,377 61 

8,738 36 

131,766 00 


Total 

46,946 99 
63,921 83 
54,321 38 


Bi- 


itish Columbia: 

Court of Appeal 

Supreme Court 

County Courts 

$ 


45,481 18 

56,001 24 

75,900 79 

1,962,450 41 




1,944,116 34 


$ 131,931 06 


$2,076,047 40 


Tr 


>te 92 Supreme Court of Canada, Administration . . . 




71,180 00 
67,285.43 




$ 3,894 57 






Estimates 
details 

51,880 00 

4,800 00 
7,000 00 
7,500 00 


Allotments 
authorized 




Expenditures 


\ 


51,880 00 

4,800 00 
7,000 00 
7,500 00 


50.913 55 


B 


Printing, Stationery, Travelling Expenses 
and Sundries, including books, maga- 
zines, etc., for Judges not exceeding 
$350 


2,160 57 


C 
D 


Law Books and Books of Reference for 
Library, and Binding of same 

Printing, binding and distributing Supreme 
Court Reports 

$ 


6,790 03 
7,421 28 




71,180 00 


$ 71,180 00 


$ 67,285 43 



Comments on Expenditures 

A As of March 31, 1942, there were 22 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date: C. A. Audette, $2,700; S. E. Bolton, 
$3,120; W. K. Campbell, $2,640; E. A. Driedger, $3,000; C. E. Gobeil, $3,480; A. Grenier, 
$4,000; F. H. Hird, $2,400; P. Leduc, $7,500. 

D Receipts from sales of Law Reports for 1941-42 totalled $11,990. 



Vote 93 Exchequer Court of Canada — Administration 
Expenditures 



34,355 00 
32,176.20 



Lapsed $ 2,178 80 



A Salaries 

B " Judges and Court Officials, Travelling 

Expenses, Services of Sheriffs, Outside 

Court Reporters, etc 

C Printing, Stationery and Sundries, including 

$150 for Judges Books 

D Printing, Binding and Distributing Court 

Reports 



Estimates 
details 


Allotments 
authorized 


Expenditures 


25,655 00 


25,655 00 


23,579 72 


5,200 00 


5,200 00 


5,196 91 


1,000 00 


1,000 00 


926 16 


2,500 00 


2,500 00 


2,473 41 



$ 34,355 00 $ 34,355 00 $ 32,176 20 



DEPARTMENT OF JUSTICE 



13. 



Comments on Expenditure! 

A As of March 31, 1942, there were 10 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on thai date: II. Desmarais, $2,700; A. W. Ducloi 
$5,000; §. J. Kills. $3,480; R. M. Spankie, $3,720. 

B Judges' travelling expenses, E. R. Angers, $918.78; A. K. McLean, $76028. Travel o1 
Btaff: A. W. Duclos, $201.17; H. Dcsmarais, $293.36; G. Kitts, $595.03; R. .Spankie 
$69354. Reporting evidence cost, 81,265.95; sheriff and constable iVcs, $468.50. 



Vote 94 Yukon Territorial Court Administration 
Expenditures 



5,040 00 
2,823 67 



Lapsed $ 2,216 33 



A Salaries 

B Contingenl Expenses 



Estimates 
details 
2,040 00 
3,000 00 



2,040 00 
3,000 00 



5,040 00 $ 5,040 00 



Allotments 

authorized Expenditures 



2,029 03 
794 64 



2,823 07 



Vote 95 Gratuities to the widows ar to the dependent children of Judges 

who die while in office 15,000 00 

Expenditures 7,166 66 



Lapsed 



....$ 



7,833 34 



Widow of Judge of Supreme Court of Alberta 

Widow of Chief Justice and Judge of Admiralty Court of British Columbia. 

Widow of Judge of Supreme Court of Ontario 

Widow of Judge of Superior Court of Quebec 

Widow of Judge of District Court of Manitoba 



1,500 00 
1,833 33 
1,500 00 
1,500 00 
833 33 



7,166 66 



PENITENTIARIES BRANCH 

Vote 96 Branch Administration 110,350 00 

Expenditures 54,813 07 

Lapsed $ 55,536 93 

Estimates Allotments 

details authorized Expenditures 

A Salaries 84 600 00 84,600 00 49.808 79 

B Travelling Expenses 15.000-00 15,000 00 838 39 

C Print ing and Stationery 4,000 00 4,000 00 2,613 01 

D Sundries 6,000 00 6.000 00 802 SS 

E Honorarium to Acting Superintendent 750 00 750 00 750 00 

$ 110,350 00 $ 110,350 00 S 64,813 07 



Comments on Expenditures 

A As of March 31, 1942, there were 30 employees paid from this vote. The following were 
receiving annual salaries of S2.U10 or over on that date: II. I J. 700; W. S. Lawson, 

$4,140; S. J. Pearson, $4,080; G. L. Sauvant, $3,420; G. E. Shortt, S3.420. 

B Travelling expenses over S300. W. S. Lawson, S401.57. 



136 



AUDITOR GENERAL'S REPORT 



Vote 97 Operation and Maintenance of Penitentiaries, etc 2,912,685 00 

Expenditures 2,731,739 06 

Lapsed $ 180,945 94 



Estimates 
details 

A Salaries and Wages 1,524,945 00 

B Retiring Gratuities 30,100 00 

C Uniforms 34,004 00 

D Messing 43,842 10 

E Printing and Stationery 11,415 30 

F Other Administration 33,990 00 

G Maintenance of Convicts 576,104 00 

H Discharge Expenses 40,584 50 

I Operating Expenses 309,640 10 

J Maintenance of Fixed Assets 85,429 00 

K Construction 133,190 00 

L Machinery and Equipment 86,886 00 

M Live Stock 2,555 00 



Allotments 

authorized Expenditures 

1,524,945 00 1,485,062 56 

30,100 00 21,077 92 

34,004 00 26,080 71 

43,842 10 43,466 82 

11,415 30 9,997 55 

33,990 00 21,608 81 

576,104 00 539,004 93 

41,695 16 41,695 16 

331,621 25 331,575 51 

85,429 00 66,247 76 

129.112 19 95,594 23 

65,886 00 45,786 10 

4,541 00 4,541 00 



$2,912,685 00 $2,912,685 00 $2,731,739 06 



Comments on Expenditures 

By penitentiaries the distribution of expenditures is as follows: — 

Operation 
Maintenance Maintenance 
of convicts of fixed 
and Assets 

Adminis- Discharge Construction, 
tration Expenses etc. 



Penitentiaries Salaries 

Dorchester 177,927 37 

St. Vincent de Paul 361,557 31 

Collin's Bay 160,963 65 

Kingston 269,998 00 

Manitoba 167,826 31 

Saskatchewan 190,507 35 

British Columbia 156,282 57 



17,313 95 
31,143 82 
12,734 96 
25.167 63 
11,250 33 
15,080 78 
9,540 34 



68,013 91 
167,807 93 
42,575 20 
130,413 41 
54,876 34 
72,292 72 
44,720 58 



94,158 31 
145,101 46 
56,297 25 
81.834 51 
67,380 46 
64,368 41 
34,604 20 



Total 

357,413 54 
705,610 52 
272,571 06 
507,413 55 
301,333 44 
342,249 26 
245,147 69 



$1,485,062 56 $122,231 81 $580,700 09 $543,744 60 $2,731,739 06 



A As of March 31, 1942, there were 910 employees paid from this vote: Dorchester, 109; 
St. Vincent de Paul, 227; Collin's Bay, 96; Kingston, 171; Manitoba, 99; Saskatchewan, 
115; British Columbia, 93. 

The following employees were receiving annual salaries of $2,400 or over on March 31, 
1942, or at date of separation (shown in brackets) : 

Dorchester: C. E. Timlin, deputy warden, $2,520, quarters, $900; E. N. Emery, $2,400 
(Oct. 13); C. E. Gaudet, $2,520; L. H. Sears/ $2,400; Rev. E. B. Spurr, $2,520; Rev. H. A. 
• Vanier, $2,520. 

St. Vincent de Paul: G. Lebel, Warden, $4,740, (less value of allowances, $960); E. 0. 
Brodeur, deputy warden, $2,400, quarters, $900; J. Dorais, $2,520; G. Z. Gagnon, $2,760; 
E, Garceau, $2,400; Rev. J. A. Pageau, $2,520; F. Valiquette, $2,520. 

Collin's Bay: W. H. Craig, Warden, $4,440 (less value of allowances, $840); V. J. 
Harraway, deputy warden, $2,520, quarters, $900; W. Grant, $2,520; H. L. Keech, $2,400. 

Kingston: R. M. Allan, warden, $5,100 (less value of allowances, $960); H. L. Millard, 
deputy warden, $1,920, quarters, $900; Rev. A. J. Anderson, $2,520; Rev. M. J. Brady, 
$2,520; F. J. Doyle, $2,400; H. Hora, $2,400. 



DEPARTMENT OF JUSTICE 137 

Manitoba: A. II. Campbell, Warden, $3,060 (less value of allowai K))j E. Nordin, 

deputy warden, $2,160, quarters, $900; Rev. H. J. Bedford, $2,520; 8. F. Bloomfield, 82,520; 
N. Bowden, $2,520; Rev. J. S. Miller, $2,520. 

Saskatchewan: H. W. Cooper, Warden, $4,440 (less value of allowances, $840); J. W 
Everatt, deputy warden, $2,280, quarters, $900; J. B. Akers, $2,400; Rev. L. J. I) 
$2,520; C. S. Darby, $2,520; Rev. R. G. McKay, $2,520. 

British Columbia: W. Meighen, Warden, $4,440 (less value of allowances, $840); R. B. 
Douglass, deputy warden, $2,520, quarters, $900; Rev. F. Nash, $2,520; Rer. Gr. B. Ridland, 

520. 

Free quarters, value as shown, were allowed under section 34 of the Penitentiaries 
c. 154, R.S. to the following officers: 

Dorchester: H. E. Ison, $180; R. S. Sinclair, $180; Rev. E. B. Spurr, $180; Rev. II. A 
Vanier, $180; N. P. Ward. S150. 

Si. Vincent de Paul: J. C. Belanger, $180; G. Z. Gagnon, $180; H. Godin, $180; Rev. J. A. 
Pageau, $240. 

Collin's Bay: J. W. CJark, S180; F. H. Saunders, $180. 

Kingston: J. Atkins, $300; J. K. Patterson, $200; A. G. Pedder, $180. 

Manitoba: Rev. J. S. Miller, $120; H. C. Rose, $60. 

British Columbia: J. G. Drinkwater, $180. 

B Gratuities on retirement were paid under Section 32 of the Penitentiaries Act to eight 
employees as follows: E. N. Emery, $4,650; N. L. Genge, $927.08; R. Girard, $2,302.08; 
I . Jette, $4,816.67; C. A. O'Neil, $687.50; E. St. Aubin, $2,427.08; H. Watson, $816.67; 
W. F. Webster, $1,010.42. 
Seven gratuities of three months' salary were paid under Section 33. 

C Uniforms are made in the penitentiaries. 

D Meals are free to officers and guards on duty. 

F Includes the following grants in lieu of public school taxes: Dorchester, $1,000; St. Vincent 
de Paul, $500; Kingston, $500; Manitoba, $2,550.. 

G Expenditures are divided as follows: clothing, $72,148.62; rations, $328,904.09; other 
administration, $137,952.22. Care of patients in mental hospitals cost $22,797.86; special 
surgeons and dentists were paid $11,833.45, tobacco and smokers' supplies cost $26,983.22 
and $35,435.04 was paid to discharged convicts as pay allowance at 5 cts. per day. 

H Discharge expenses include wearing apparel and transportation to point of sentence. 
Travel expenses were $11,617.83. 

I Fuel cost: Dorchester, S22,986.5S; St. Vincent de Paul, $45,750.93; Collin's Bay, $24,687.74; 
Kingston, S31,091.9S; Manitoba, $25,036.28; Saskatchewan, $8,436.82; British Columbia. 
$12,275.45. 

Electric current cost: Dorchester, $5,883.47; St. Vincent de Paul, $10,6SS.69; Collin's 
Bay, $2,181,72; Kingston, $5,905.90; Manitoba, $4,875.67; Saskatchewan, $2,614.94; British 
Columbia, $4,915.96. 

Purchases of gasoline were: Dorchester, $1,177.61; St. Vincent de Paul, S2/T90.45; Collin's 
Bay, SI, 391. 88; Kingston, $1,849.03; Manitoba, $676.23, Saskatchewan, $910.16; British 
Columbia, $552.16. 

J K Includes expenditures of $13,538.02 for cement, $18,687.74 for lumber and $11,332.33 for 
structural steel. 

M Five teams of horses cost $1,225. 

Payments of $5,000 or over were: Anglo Canadian Leather Co., Ltd., $7.0S(U3; Be:mlmore 
& Co., Ltd, S5,326.31; Boon Strachan Coal Co, Ltd, S35,493.01 ; Breithaupt Leather Co, 
Ltd, $10,304.54; Burns ct Co, Ltd, $20,045.93; Canada and Dominion Sugar Co, Ltd, 
$5,492.03; Canada Broom Co, $5,143.14; Canada Cement Co, Ltd, S6,525.36; Canada 
Packers Ltd, S31,090.S9; Canada Wire and Cable Co, S6..S79.61 ; Canadian Cottons, Ltd, 
$11,399.23; Canadian Gen. raJ Electric Co, Ltd, $9,805.19; Canadian National Railway Co., 
Md.S49.50; Canadian Public Utilities Ltd., 8S.301.76; Canadian Telephone Supplies, Ltd, 
$6,493.31; City of New Westminster, sv^g.ss; I. Cohen & Co.. $11,512.71; Crane Ltd.. 
$6,1S4.92; James Crawford & Son Ltd, $6,479.42; Cumberland Kly. A: Coal Co., $14,730.1S; 
Daigle & Paul Ltd, $0,169.35; A. Davis & Sons Ltd, $7,06S.27; Department of Pension^ and 



138 AUDITOR GENERAL'S REPORT 

National Health, S8.027.41; Dominion Coal Co., Ltd., $8,198.04; Dominion Textile Co., Ltd., 
S15.i42.56; Druiy's Supplies, S16.424.52; Eastern Hay & Feed Co., Ltd., $8,816.40; John M. 
Garland Son & Co., Ltd., $12,360.66; Gilley Bros., Ltd., $9,138.40; Great West Coal Co., 
Ltd., $20,920.58; S. Green, $24,346.77; J. A. Humphrey & Son Ltd., $15,251.87; Kingston 
Creamery. S6.368.45; Kingston Public Utilities, $7,093.19; Lang Tanning Co., Ltd., $7,216.11; 
Luxura Tea Co., $6,888; Macdonald's Consolidated Ltd., $23,395.46; Maple Leaf Milling 
Co., Ltd., $7,702.08; W. C. McDonald, Inc., $25,165.91; A. McLean & Son, $7,910.66; 
Montreal Light, Heat and Power Co., $8,912.34; Morris Coal Co., $38,470.86; New 
Brunswick Electric Commission $5,883.47; Northern Cartage & Contracting Co., Ltd., 
$6,672.67; Northern Electric Co,, Ltd., $6,985.89; Ogilvie Flour Mills Co., Ltd., $6,377.16; 
Ontario Provincial Hospitals. $7,751; Penman's Ltd., $14,067.72; Quebec Provincial 
Hospitals, S7..209.68; James Robertson Co., Ltd., S5,043; Thos. Robertson (Canada) Ltd., 
S5.259.46; St. Lawrence Sugar Refineries, Ltd., S9.74i.53; Swift Canadian Co., Ltd, 
$21,945.77; United Shoe Machinery Co. of Canada, Ltd., $5,986.37. 

PENSIONS AND OTHER BENEFITS 
Pensions to retired Judges, Judges Act, c. 105 R.S $ 269,801 60 



Supreme Court of Canada (3) 25,999 86 

Exchequer Court of Canada (2) 7,027 75 

Nova Scotia Courts (3) 9,759 04 

New Brunswick Courts (2) 11,999 88 

Quebec Courts (4) 14,916 51 

Ontario Courts (21) 96,974 70 

Manitoba Courts (1) 83 33 

Saskatchewan Courts (8) 36,466 30 

Alberta Courts (4) 21,055 39 

British Columbia Courts (11) 41,018 78 

Yukon Court (1) 4,500 00 



$ 269,501 60 
Vote 98 Pension to William Tatton $ 564 00 



Pension to the dependent child of the late Penitentiary Guard, John 

Williams, Appropriation Act, c. 45, 1938 300 00 

Pension to Mrs. Alice Joynson, c. 11, 1914 499 92 

Pension to Mrs. Violet L. Jenkin, Appropriation Act, c. 76, 1927 600 00 

Pension to Mrs. Jean Laird Farrell, Appropriation Act, c. 76, 1927 600 00 



$ 1,999 92 



DEPARTMENT OF LABOUR 
REVENUES 

Summary 

1941-42 1940-41 

I R< \ i nue 1,595 60 7,176 39 

Fines and Forfeitures 4,000 00 

Bpecial Revenue 99,817 64 54,363 94 



$ 101,413 24 S 65.540 33 

Details 

Casual Revenue — 

A Proceeds from sales of Labour Gazette and other departmental publications. . 1.564 17 

B Sundries 31 43 

1,595 60 

Special Revenue — 

Unemployment Relief Act, 1930. Alberta 21 33 

Unemployment and Farm Relief Act, 1931, and Continuance Act, 1932: 

Manitoba, S5.33; Saskatchewan, $42.08; Alberta, $342.82 390 23 

Relief Act, 1932: Manitoba, $1,006.61; Saskatchewan, $48.35; Alberta, $397.38; 

British Columbia, $9.05 1,461 39 

Relief Act. 1933, Alberta 6 00 

Relief Act, 1934: Manitoba, $1,995.71 ; Saskatchewan, $2,227.38; Alberta, $232.71 ; 

British Columbia, $8.84 4,464 64 

Unemployment Relief and Assistance Act, 1936: Quebec, $9,493.79; Manitoba, 

156.29 ; Alberta, $2,364.47 17,914 55 

Unemployment and Agricultural Assistance Act, 1937, Alberta 107 46 

Unemployment and Agricultural Assistance Act, 1938: Manitoba, $11,298.31; 

Saskatchewan, 82,030.62; Alberta, $313.88; British Columbia. $525.67 14,168 48 

Unemployment and Agricultural Assistance Act, 1939: Ontario, SS3.0S; Mani- 
toba. S13.077.41; Saskatchewan. $2,673.51; Alberta, $882.15; British Columbia. 

S4.782.34 21 ,198 49 

Unemployment and Agricultural Assistance Act, 1940: New Brunswick, S254.25; 

Quebec, S13.S13.32; Ontario, $1,533.51; Manitoba, $14,572.91; Saskatchewan. 

$14.92 : Alberta, S3.896.35 34,(K 

Youth Training Act, 1939: Quebec. $4,967.14; Ontario, S635.94; Manitoba, 

$58.02 ; Alberta, $38.71 5,69 

99 £1 7 64 



S 101,413 24 



In accordance with the provisions of 
correct. Section 45 (1) of the Consoli venm 

and Audit Act, I have satisfied 
BRYCE M.STEWART, that the above revenues for 1941-12 have 

Deputy Minister of Labour. been fully accounted for. 

WATSON SELLAR, 

A ! >tor Gem 

139 



140 AUDITOR GENERAL'S REPORT 

Comments on Revenues 

Casual Revenue — 

A Subscriptions to and sales of the Labour Gazette amounted to $1,262.58; sales of other 

publications, $303.44), less $1.85 deposited to 1942-43 Casual Revenue. 
B Sale of Unemployment Insurance Books, $30.18; unclaimed remittance, $1.25. 

Special Revenue — 

These amounts were received from the Provinces on account of the following: refunds 
of expenditures irregularly included in Provincial certificates, collections made on account 
of seed grain expenditures, refunds by recipients of direct relief and adjustments in relief 
settlement accounts. 

APPROPRIATIONS AND EXPENDITURES 

A total of $17,237,773.24 was available for expenditure on account of the Department 
of Labour, of which $16,111,241.70 was provided in the annual appropriation Acts and 
$1,126,531.54 was authorized by continuing statutory provisions. Expenditures were $13,183,- 
632.86 for the fiscal year 1941-42, a decrease of $5,566,089.67 from that of $18,749,722.53 in 
1940-41. 

In addition a total of $6,980,975.38 was allotted to the Department from the War 
Appropriation. Expenditures thereunder amounting to $6,554,331.89 are shown in the War 
Expenditure section of this report. 

No. of 
Vote Services Appropriations Expenditures Lapsed 

Statutory Salary of Minister — Salaries Act, c. 

182, R.S 10,000 00 10,000 00 

Statutory Motor Car Allowance to Minister — 

Appropriation Act No. 5, c. 61, 

1931 2,000 00 2,000 00 

99] 
*420, *421 1 Departmental Administration 157,626 02 156,143 32 1,482 70 



479! 

100| 

*4201 



Annuities Act 257,171 50 255,441 52 1,729 98 



Statutory Government Annuities — Payment 
required to maintain reserve, Gov- 
ernment Annuities Act, c. 7, R.S. 616,981 58 616,981 58 

*420 *422t Combines Investigation Act 59,347 30 57,471 34 1,875 96 

*j?j?j Fair Wages and Conciliation 93,775 00 63,216 16 30,558 84 

Employment Offices Co-ordination 
Act— 

103 Administration 28,185 00 25,819 12 2,365 88 

Statutory Payments to the Provinces in con- 
nection with the organization 
and co-ordination of Employ- 
ment Offices — Employment 
Offices Co-ordination Act, c. 57, 

R.S 50,000 00 50,000 00 

104) Industrial Disputes Investigation 

481 J Act 80,000 00 75,211 84 4,788 16 

1051 Labour Gazette and other publica- 
*420s tions authorized by Labour De- 

423 J partment Act 60,864 97 60,567 94 297 03 

Technical Education Act — 
106 Administration 2,300 00 2,299 92 08 



DEPARTMENT OF LABOUR 141 

No. of 
Vote Services Appropriations Expenditures Lapsed 

Statutory Payments to the Provinces for the 
encouragement of Technical Edu- 
cation — Technical Education Act, 

c. 193, R.S 40,727 15 40,727 15 

Unemployment Insurance Act, 1940 — 

' 107 Administration 4,700,000 00 

Less transferred . . . 15,000 00 

4,685,000 00 2,343,599 35 2,311,400 65 

108 Government's Contribution 8,000,000 00 7,287,12181 712,878 19 

SUPERANNUATION AND RETIREMENT 
BENEFITS 

Statutory Gratuities to families of deceased 
employees, Civil Service Act, c. 22, 
R.S 1,190 00 1,190 00 

GENERAL 

68 Unforeseen Expenses, $80,000 ; trans- 
fer 3,335 91 3,335 91 

Total Ordinary Expenditures ...$14,148,504 43 $11,051,126 96 $3,097,377 47 

SPECIAL 

109 Commitments under Relief Settle- 
ment Agreements with the Prov- 
inces 75,000 00 37,686 40 37,313 60 

Statutory Contributions to Youth Training 
Program — Youth Training Act, 
c. 35, 1939 405,632 81 405,632 81 

110 Contributions to plans for Rehabili- 
tation of Unemployed Higher Age 
Persons 125,000 00 35,064 60 S9,935 40 

111 Relief Projects 2,722.700 00 

Less transferred 370,000 00 

2,352,700 00 1,565,713 26 786,986 74 

112 Administration Expenses generally, 
including temporary appointments 
which may require to be made for 
such purposes notwithstanding 
anything contained in the Civil 
Service Act: — 

Unemployment Relief and 

Youth Training 97,936 00 61,774 89 36.16111 

National Registration 33,000 00 26.633 94 6,366 06 

Total Special Expenditures $ 3,089,268 81 $ 2.132,505 90 S 956.762 91 

Total $17,237.773 24 S13.183.632 S6 S 4,054.140 3S 

These accounts have been examined and 
Certified correct. audited under my direction in accordance 

with the provisions of the Consolidated 

B. G. McINTYRE, Revenue and Audit Act, and subject to 

Comptroller of the Treasury. the observations in this report, I certify 

that in my opinion they are correct. 



WATSON BELLAS, 

Auditor General. 



* Supplementary vote. 



142 AUDITOR GENERAL'S REPORT 

Salary of Minister, Salaries Act, c. 182, R.S $ 10,000 00 



Comments on Expenditures 

Payments were made as follows: Hon. N. A. McLarty, April 1 to Dec. 15, $7,069.90; 
Hon. H. Mitchell, Dec. 16 to Mar. 31, $2,930.10. 

Motor Car Allowance to Minister, Appropriation Act No, 5, c. 61, 1931 . . .$ 2,000 00 



Comments on Expenditures 

Payments were made as follows: Hon. N. A. McLarty, April 1 to Dec. 15, $1,413.97; 
Hon. H. Mitchell, Dec. 16 to Mar. 31, $586.03. 

Vote 99 Departmental Administration 134,543 00 

Vote ''420 Cost of living bonus, supplement 2,518 02 

Vote "421 Further amount required 13,000 00 

Vote 479 Further amount required 7,565 00 

157,626 02 

Expenditures 156,143 32 

Lapsed $ 1,482 70 

Estimates Allotments 

details authorized Expenditures 

A Salaries 123.580 00 124,298 02 124.298 02 

B Printing and Stationery 11,500 00 14,100 00 14,075 63 

C Subscriptions to Newspapers, Periodicals, etc. 1,500 00 1,500 00 1.375 12 

D Sundries 3,328 00 3,128 00 2,881 87 

E Telephones and Telegrams 8,500 00 8.500 00 8. 384 19 

F Travelling Expenses 5,700 00 5,100 00 4 ; 925 99 

G Conference Expenses 1,000 00 1,000 00 202 50 

$ 155,108 00 $ 157,626 02 $ 156,143 32 



Comments on Expenditures 

A As of March 31, 1942, there were 71 employees paid from this vote. The following 
were receiving annual salaries of $2,400 or over on that date, or at date of separation 
(shown in brackets): B. M. Stewart, Deputy Minister, $10,000; A. MacNamara, Associate 
Deputy Minister, $9,000; C. W. Bolton, $3,720; G. H. Brown, $5,220; R. M. Cram, $3,000; 
C. A. Enright, $2,400; G. G. Green, $4,080; F. M. MacDonald, $3,000; N. H. MacDonald, 
secretarial allowance, Apr. 1 to June 30, $15.00 (salary paid by Post Office Department); 
M. Mackintosh, $3,360; A. G. MacLachlan, $4,080 (on leave without pay from May 15, 
noon); C. R. McCord, $2,760; E. Mclntyre, secretarial allowance, Apr. 1 to Dec. 15, 
$381.77 (salary paid by Department of Public Works) ; H. R. Runions, $3,000. 

F Travelling Expenses in excess of $300 were paid as follows: Hon. N. A. McLarty, 
$1,294.36; P. Deziel, $367.91; George G. Green, $761.66; A. MacNamara, $381.84; Hon. 
Humphrey Mitchell, $1,000; Bryce M. Stewart, $302.50. 

Vote 100 Annuities Act 255,742 00 

Vote *420 Cost of living bonus, supplement 1,429 50 

257,171 50 
Expenditures 255,441 52 

Lapsed $ 1,729 98 



DEPARTMENT OF LA HOUR 143 

Estimates 

details 



A Salaries 80,242 00 

B Commissions to Agents 154,000 00 

C Printing and Stationery 12,000 00 

D Sundries 6,000 00 

E Telephones and Telegrams 2,500 00 

F Travelling Expenses 1.000 00 

$ 255,742 00 



Alio tin 






authorized 


E; 


;)>rndi hires 


84,566 50 




84,566 50 


152,700 00 




151,397 :'.7 


10,600 00 




10,582 20 


5,1(10 00 




6,093 71 


3.205 00 




3,202 34 


1,000 00 


I 


599 37 


$ 257,171 50 


255,441 52 



Comments on Expenditures 

This vote provides for the expenses of the administration of the Government Annuities 
Act, c. 7, R.S. 
A As of March 31, 1942, there were 65 employees paid from this vote. The following 

were receiving annual salaries of $2,400 or over on that date: E. G. Blaokadar, $4,620; 

E. J. Grimes, $2,700; C. H. Houston, $2,400; C. H. McQuarrie, $3,000; S. B. Stewart, 

$2,520. 

B The following agents received commissions of over $5,000: F. C. Crosby, $5,09353; 
J. D. A. McDonald, $5,008.19. The Post Office Department received $6,574.04. 

Government Annuities — Payment required to maintain reserve. Govern- 
ment Annuities Act, c. 7, R.S $ 616,981 58 



Comments on Expenditures 

A statement of the Government Annuities Fund is published with the Dominion 
Balance Sheet. 

Vote 101 Combines Investigation Act 45,315 00 

Vote *420 Cost of living bonus, supplement 32 30 

Vote *422 Further amount required 14,000 00 

59,317 30 
Expenditures 57,471 34 

Lapsed $ 1,875 96 

Estimates Allotments 

details authorize Expenditures 

A Salaries 21,715 00 7 1 69 71 89 

B Fees and Expenses for legal counsel, 

accountants, special commissioners and 

witnesses 33,600 00 32.972 61 32.297 86 

C Printing and Stationery 1.000 00 200 00 107 63 

D Sundries 500 00 500 00 

E Telephones and Telegrams 500 00 • 500 00 

F Travelling Expenses 2,000 00 2.S00 00 2, 197 5 1 

$ 59,315 00 $ 59,347 30 $ 57.471 34 



Comments on Expenditures 

This vote provides for the expenses of the Administration of the Combines Invest 
tion Act, c. 26, R.S. 
A As of March 31, 1942. there were 8 employees paid from this vote. The following 

were receiving annual salaries of $2,400 or over on that date: H. M. Brown, $4,140; 

I. M. MacKeigan, $2,520; F. A. McGregor, $7,000; A. S. Whiteley. S3,000. 



144 AUDITOR GENERAL'S REPORT 

B The following received over $5,000 as fees and expenses: McRuer, Mason, Cameron 

and Brewin, $27,051.47. 
F Travelling expenses in excess of $300 were paid as follows: H. M. Brown, $946.11; 

I. M. MacKeigan, $1,421.88. 

Vote 102 Fair Wages and Conciliation 49,155 00 

Vote 480 Further amount required 44,620 00 

93,775 00 
Expenditures 63,216 16 

Lapsed $ 30,558 84 

Estimates Allotments 

details authorized Expenditures 

A Salaries 75,975 00 74,775 00 47,154 66 

B Printing and Stationery 1,000 00 1,100 00 1,026 02 

C Sundries 300 00 300 00 . 143 38 

D Telephones and Telegrams 2,500 00 3,600 00 3,363 14 

E Travelling Expenses 14,000 00 14,000 00 11,528 96 

$ 93,775 00 $ 93,775 00 $ 63,216 16 



Comments on Expenditures 

This vote provides for the expenses of the Administration of the Fair Wages and 

Hours of Labour Act, 1935. 

A As of March 31, 1942, there were 25 employees paid from this vote. The following 
were receiving annual salaries of $2,400 or over on that date, or at date of separation 
(shown in brackets): F. J. Ainsborough, $3,120; M. S. Campbell, $5,220 (Nov. 7); 

E. N. Compton, $3,000 (Mar. 8); G. R. Currie, $3,120; F. E. Harrison, $4,500; R. H. 
Hooper, $3,120; H. S. Johnstone, $4,080; J. S. McCullagh, $3,120; J. P. Nicol, $3,480; 
L. Pepin, $3,120; H. R. Pettigrove, $4,500; E. M. Quirk, $3,780; G. P. Shields, $3,000; 

F. X. R. Trepanier, $4,800. 

E Travelling expenses in excess of $300 were paid as follows: F. J. Ainsborough, $1,126.01; 
E. N. Compton, $365.17; G. R. Currie, $838.07; F. E. Harrison, $2,250.06; J. S. McCullagh, 
$2,341.93; L. Pepin, $969.81; E. B. Paul, $878.01; H. R. Pettigrove, $453.18; E. M. Quirk, 
$372.98; J. M. Wyatt, $421.24. 

Vote 103 Employment Offices Co-ordination Act — Administration .... 28,185 00 

Expenditures 25,819 12 

Lapsed $ 2,365 88 

Estimates Allotments 

details authorized Expenditures 

A Salaries 22.860 00 23.210 00 22,890 74 

B Printing and Stationery 3,750 00 3,000 00 1,777 44 

C Sundries 200 00 200 00 112 86 

D Tabulator and Sorter Rentals 375 00 375 00 167 50 

"E Telephones and Telegrams 250 00 650 00 554 24 

F Travelling Expenses 750 00 750 00 316 34 



$ 28,185 00 $ 28,185 00 $ 25,819 12 



Comments on Expenditures 

This vote provides for the expenses of the Administration of the Employment Offices 

Co-Ordination Act, c. 57, R.S. 

A As of March 31, 1942, there were 5 employees paid from this vote. The following 
was receiving an annual salary of $2,400 or over at date of separation (shown in brackets) : 
A. J. Odam, $3,000 (Oct. 1. Transferred to Unemployment Insurance Commission). 



DEPARTMENT OE LABOUR 145 

Employment Offices Co-ordination Act, c. 57, R.S. — Payments to tin- 
Provinces in connection with the organization and co- 
ordination of Employment Offices $ 50,000 00 



Comments on Expenditures 

The Employment Offices Co-ordination Act provides that the sum of $150,000 may 
be paid to the provinces each year, under agreement, in the proportion which the expendi- 
tures of each bear to the expenditures of all for the maintenance and operation of public 
employment offices. Under authority of P.C. 6840 of August 29, 1941, agreements were 
entered into with the various provinces for the period April 1 to July 31, 1941, only, as 
the Dominion was to set up its own employment service, as required under the Unemploy- 
ment Insurance Act, 1940. 

The following amounts were paid the provinces: Nova Scotia, $2,192.58; New Bruns- 
wick, $762.52; Quebec, $14,578.64; Ontario, $18,310.15; Manitoba, $3,424.39; Saskatchewan, 
$3,340.60; Alberta, $2,467.34; British Columbia, $4,923.78. 

Vote 104 Industrial Disputes Investigation Act 
Vote 481 Further amount required . . 



Expenditures 



Act 




40,000 00 
40,000 00 














80,000 00 
75,211 84 




$ 






4,788 16 




Allotments 
authorized 

75.500 00 
2,700 00 
1,800 00 


Estimates 
details 

77.300 00 
1,200 00 
1,500 00 


Expenditures 

71,313 20 
2.226 49 
1,672 15 


$ 80,000 00 


$ 80,000 00 


$ 75,211 84 



A Expenditures re various Boards under the 

Act 

B Printing and Stationery 

C Telephones and Telegrams 



Comments on Expenditures 

This vote provides for the expenses of the Administration of the Industrial Disputes 
Act, c. 112, R.S. 
A As of March 31, 1942, there was 1 employee paid from this vote: B. Rose, $4,200. 

Vote 105 Labour Gazette and other Publications authorized by Labour 

Department Act 52,010 00 

Vote *420 Cost of living bonus, supplement 854 97 

Vote 423 Further amount required 8,000 00 

60,864 97 
Expenditures 60.567 94 

Lapsed $ 297 03 

Estimates Allotments 

details authorized Expenditures 

A Salaries 14,130 00 15.359 97 15,359 97 

B Labour Gazette Correspondents 6,180 00 6.635 00 6.634 16 

C Printing and Binding 39.000 00 3S,170 00 38,168 42 

D Stationery Supplies 500 00 500 00 23160 

E Sundries 200 00 200 00 173 79 



$ 60,010 00 $ 60.S64 97 S 60 ,.567 94 



146 AUDITOR GENERAL'S REPORT 

Comments on Expenditures 

Payments were for the expenses in connection with the publication and distribution 
of the Labour Gazette and other bulletins, as provided in the Labour Department Act, 
c. 3. R.S. 
A As of March 31, 1942, there were 52 employees paid from this vote. The following 

were receiving annual salaries of $2,400 or over on that date: D. J. Sutherland, $3,000; 

H. J. Walker, $3,600. 

Vote 106 Technical Education Act — Administration 2,300 00 

Expenditures 2,299 92 



Lapsed $ 08 



Estimates Allotments 

details authorized Expenditures 

Salaries $ 2,300 00 $ 2,300 00 $ 2,299 92 



Comments on Expenditures 

The salary was paid to J. C. McKellar. 

Payments to the Provinces for the encouragement of Technical Education 

— Technical Education Act, c. 193, R.S $ 40,727 15 



Comments on Expenditures 

The Technical Education Act. c. 193, R.S., as amended, provides for payments to 
the Provinces of certain sums of money for the purpose of promoting and assisting technical 

education, subject, of course, to the Provinces fulfilling certain conditions. The Province 
of Manitoba was paid the full amount. 

Unemployment Insurance Act, 1940 

Vote 107 Administration, $4,700,000 less $15,000 transferred to De- 
partment of Trade and Commerce 4,685,000 00 

Expenditures • 2,343,599 35 

Lapsed $2,341,400 65 

Allotments 

authorized Expenditures 

A Salaries 1,750.000 00 1,260976 31 

B Advertising and Publicity 100,000 00 34,214 79 

C Telephones, Telegrams and Postage 100,000 00 94,667 61 

D Equipment 300,000 00 198,801 32 

E Lands and Buildings 200.000 00 114,760 72 

F Professional and Special Services 10,000 00 4,081 27 

G Rents 300,000 00 70,042 32 

H Printing and Stationery 150.000 00 149,884 22 

I Supplies and Materials 10,000 00 181 57 

J Freight, Express and Cartage 50.000 00 9,226 36 

K Travelling Expenses ' 650,000 00 93,976 09 

L Unemployment Insurance Stamps 40,000 00 28,067 60 

M Unemployment Insurance Workers' Books 75,000 00 41,148 39 

N Commissions to Post Office 171,000 00 128,250 00 

O Recoverable Loans to Workers 50,000 00 

P Miscellaneous and Current Expenses 44,000 00 6,954 54 

Q Provincial Employment Offices 146,500 00 108,366 24 

R Unallotted Balance 538,500 00 



$4,685,000 00 $2,343,599 35 



The amount of the above vote was not subdivided in the Estimates details; the allot- 
ments were authorized by Treasury Board. 



R. 


(i 


E. 


R 


G. 


A 


H. 


1'. 


K. 


II. 



DEPARTMENT ()! LABOUR 147 

Comments 

A As of March 31, 1942, there were 1,394 employees paid from this vote. The following 
were receiving annual salaries of $2,400 or oyer on thai (late, or at date oi separation 
(shown in brackets): A. M. Mitchell, Commissioner, $8,000; R, .!. I'.tllon, Commie 

0; !•'. J. Altimas, $3,000; J. Angus, $3,600; H. gaird, $2,640; R. W. Ball, $2,520; 

Barclay, $4,500; W. H. Barker, $2,520; S. Barton, S2.520; J. E. Beauvaia, S3,000; 

Beckwith, 82,640; O. Boucher, S2.I60; R. Bowers, $2,640; C. W. Boycr, $2,640; 

Buckley, S3.000; A. C. Burns. $2,520; W. Carnill, 83.000; F. R. Clarke, 83.600; 

Clarke, 82.460; J. P. Cote. $2,640; L. J. Curry, $2,460; W. H. L. Dan 3,000; 

Davidson, $2,460; O. Deechamps, 82,640; E. C. Desormeaux, $4,020; M. O. J. Dion, 
$2,520; E. A. Dionne, $4,020; K. M. Dinsmorc, $2,520; G. L. Edmunds, 82,460; W. I 
bridge, $2,460; S. H. Forbes. $2,520; E. H. Fortier. $2,460; R. W. ( Joss, $2,640; W. M. I 
$2,520 (Feb. 1); P. Grenier, $2,460; M. Guay, $3,000; C. L. Hall, $2,460; R. H. Hall, 
$2,460; R. P. Hartley, $3,720; A. A. Heaps, $4,200; W. I. Hetherington, $3X300; W. E. Hill. 
$2,520; J. S. Hodgson, $3,120 (on military have from Sept. 12); C. B. Howden, $2,640; 
H. C. Hudson, $4,020; P. G. Jones, 82,520; J. P. Keating, $2,640; E. P. Labcrgc, $4,020; 
C. S. Landon, $2,640; F. Langdon, $2,460; H. S. Livingston, $2,460; L. M. Lymburner. 
$3,600; S. G. Martin, $2,520; W. T. MacDonald, $2,520; W. McKinstry, $3,000; J. H. 
|«cVety, 83.720; C. A. Mudge, $2,640; A. J. Odam, $3,120; G. L. Ord. $2,640; T. Parkinson, 
$2,640; A. Peebles, S5.400; V. C. Phelan, $4,500; T. A. Phillips, $2,460; S'. Picard, $3,360; 
J. A. Prefontaine, 82.460; L. V. Prefontaiue, $3,000; H. C. Quevillon, $2,520; C. S. B 
$2,520; H. S. Relph, $4,020; J. E. Rettie, $2,640; H. R. Richardson, $2,400; W. H. Ross, 
$3,000; W. K. Rutherford. $3,300; W. J. Ryan. $2,640; W. A. Selkirk. 82.610; O. J. S 
$2,520; R. V. Sladen, 82.520; J. J. Smith. 82.460; W. Smitten. $2,640; M. S. Sn? 
$3,000; F. Stangroom, 84.020; D. J. Stephenson. $2,520; H. C. Stratton, $3,000; G. F. Sti 
S2.640; B. G. Sullivan, $4,020; J. H. Tellier, $3,000; G. T. E. Tomsett, $2,640; J. A. Trudelle, 
12,640; J. II. Valin. 82.460; G. P. Weir. $3,360; F. J. White, 83.720; E. F. Widdov 
S2.520; D. D. Wilson, $2,640; A. Wood. $3,000; S. C. Wright. $2,460; J. M. Wyatt. $2,520. 
- vote was charged with $3,000 for the services of R. Brown while on loan from 
the Unemployment Relief and Youth Training Branch of the Department of Labour. 

B Consists of radio services, $4,809.20 and newspaper and other advertising, $29,405.50. 

"Advertising Agencies of Canada" received $30 ; 413.5S. 

C Charges for the three services were: Telephones, $14,762.76 (Bell Telephone Account. 
$8,439.03) ; Telegrams, $5,674.35 and Postage, $74,230.50. 

D Payments of $5,000 or over were made as follows: Office Specialty Mfg. Co. Limited. 
S23.474.4S; Preston Furniture Co., $10,057.17; Preston-Xoolting Ltd., $13,491.59; King's 
Printer. 891.327.20; The Steel Equipment Company Limited. $11,531.49; M. G. Valiquette, 
$13,742.70; Vilas Furniture Co. Ltd., $7,105.76. 

E This expenditure represents payments made through Public Works Department as 
follows: Alterations to quarters, $111,629.39; light and power, $2,159.11; fuel. $937.33; 
Water, $34.89. Payments of $5,000 or over were made as follows: Allan & Viner Con- 
struction Company, Ltd., $10,158.15; R. Laidlaw Lumber Co. Ltd., $6,807.25; Randner 
Bigurdson, $7,336. 

G Rents amounting to 869.127.32 were paid through Public Works Department. Payments 
of Sa.000 or over were made as follows: Granville Estates (No. 2) Ltd.. Vancouver. 89.220.01 ; 
Insurance Exchange Corporation Limited, Montreal. $12,315; Spadina Inveatments, 
Toronto, $7,000. 

H Payments to the King's Printer amounted to $149,267.52. 

K Travelling expenses of $300 and over were paid as follows: J. Angus, $105.17; R. G. 
Barclay. $365.33; W. B. Batsford, $1,233.02; P. R. Bengough— Advisory Committee, $1,091.65 
including 8405 remuneration; C. Berg— National Employment Committee. $364.80; If. A. 
Bruce. $418; J. Bums. $419.73; H. F. Caloren. 8647.44; Hon. Justice Lucien Cannon, 
$8S1.55; W. Carnill, $350.59; H. B. Coristine. $343.09; J. P. Cote, 8717.2S; R. C 
$899.49; L. F. D. Coulson. $360.07; J. P. Coupal, $39653; W. II. Cullen, S701.4S; H. T. 
Curran. 8475.S3; G. Dahmc. $604.36; W. H. Darracott, $392.09; E. H. Davidson, $301.26; 
O. Deschamps, $426.50; E. C. Desormeaux, S801.92; M. O. J. Dion, S321.2S; H. Edwards, 
$399.22; G. A. R. Emery, $357.42; M. S. Ferguson, $616.33; R. P. Hartley, *2,->3S.36; 
A. A. Heaps. 8805.25; W. I. Hetherington, $956.65; E. B. Hewson— Advisory Committee, 
$425.90 including $210 remuneration; C. B. Howden. $577.85; H. C. Hudson, $723.63; 



148 AUDITOR GENERAL'S REPORT 

G. T. Jackson. $455.78; J. P. Keating, $887.44; E. P. Laberge, $775.77; L. M. Lymburner, 
$605.79; P. C. MacCrimmon, $302.96; J. F. Macdonald, $391.69; W. A. MacDonald— 
Advisory Committee, $583.89 including $300 remuneration; W. T. Macdonald, $457.10; 
H. MacGregor, $449.52; J. F. MacMillen— Advisory Committee, $864.70 including $300 
remuneration; S. G. Martin, $510.49; W. McKinstry, $323.17; W. L. McLaren, $415.62; 
J. H. McVety, $963.93; A. V. Milton, $450.04; J. Mireault, $793.86; A. M. Mitchell, 
$1,191.90; J. H. Mulholland, $679.54; F. H. Mundy, $481.37; T. H. Nash, $356.22; 
A. J. Odam, $686.77; C. C. Ogilvie, $324.57; M. L. O'Gorman, $620.20; G. L. Ord, $1,135.68; 
T. Parkinson, $944.30; R. K. Paton, $372.78; A. Peebles, $642.50; V. C. Phelan, $1,228.36; 
S. J. Pomfret, $559.33; L. V. Prefontaine, $354.05; G. H. Purdy, $377.68; A. Rackham, 
$507.66; H. S. Relph, $944.67; J. E. Rettie, $804.60; W. H. Ross, $339.55; W. K. Rutherford, 
$868.64; D. Rymer, $526.65; G. H. Scott, $949.84; W. A. Selkirk, $389.76; O. J. Shaw, 
$354.55; R. V. Sladen, $2,039.12; W. Smitten, $996.29; E. Stangroom, $730.33; D. J. 
Stephenson, $563.62; R. Stevenson, $452.48; B. G. Sullivan, $1,267.69; R. J. Tallon, 
$1,384.67; J. S. Taylor, $512.53; R. J. Theriault, $804.34; A. S. Thomas, $467.15; J. K. 
Thornton, $685.25; E. J. K. Topley, $670.64; F. L. Turner, $691,53; H. L. Viel, $301.27; 
E. F. Webb, $760.08; F. L. Welter, $1,226.14; F. J. White, $2,576.17; D. D. Wilson, 
$1,158.13; S. C. Wright, $544.26. 
Purchases of street car tickets amounted to $1,340.29. 

L Covers payments to the Canadian Bank Note Co. Ltd., of which $21,198.80 was for 
balance owing on a- contract for printing 87 million stamps, $28,061.60 having been 
paid in the previous fiscal year. New issues during the current year involved payments 
amounting to $6,868.80. 

M King's Printer Account. 

N The Post Office Department agreed to handle the sale of stamps for the first year's 
operation of the Act (July 1, 1941, to June 30, 1942) for $171,000, this amount being 
based on sales estimated to reach 30 million dollars, the rate being five-sevenths of one 
per cent. The payments during the nine month period to March 31, 1942, are covered 
by this allotment. That the estimate of sales was sound is established by actual stamp 
sales during the period which amounted to $22,451,711.57. 

Q This expenditure covers reimbursements to the Provinces for out-of-pocket expenses 
incurred in continuing various employment offices until finally taken over by the Unem- 
ployment Insurance Commission. Payments were made as follows: Nova Scotia, $4,408.44; 
New Brunswick, $2,357.99; Quebec, $55,944.22; Ontario, $21,926.16; Manitoba, $3,651.31; 
Saskatchewan, $11,481.43; Alberta, $2,963.64; British Columbia, $5,633.05. 

Audit Notes 

A Charges for salary payments to A. A. Heaps were transferred periodically to Vote 107 
from Vote 99, Departmental Administration. Mr. Heaps was appointed on May 10, 1940, 
under authority of the War Measures Act "to act in an advisory capacity in connection 
with a study which is being made of Unemployment Insurance Legislation." His 
appointment to the establishment of the Unemployment Insurance Commission was not 
confirmed. 

Salaries were paid during the year to 7 employees whose employment was not authorized 
in accordance with the regulations. 

Overpayments to 2 employees, amounting to $20.50, were not recovered, according, 
to the records of the Central Pay Office. 

K An accountable advance of $180.36 made to an employee, now deceased, was out- 
standing at the close of the year. 

Vote 108 Government's Contribution 8,000,000 00 

Expenditures 7,287,121 81 

Lapsed $ 712,878 19 



Comments 

The Government's contribution to the Unemployment Insurance Fund represents one- 
fifth of the aggregate credits to the fund by way of moneys received from (1) the sale 
of stamps, ($22,451,711.27) and (2) contributions paid otherwise than by such stamps 
($14,001,209.38) after deducting from the said aggregate credits any refunds of contribu- 
tions made under the provisions of the Unemployment Insurance Act. Such refunds 
amounted to $17,311.60. 



DEPARTMENT OF LABOUR 149 

Superannuation and Retirement Benefits 

Gratuities to families of deceased employees. Civil Service Act, c. 22, R.S..$ 1,190 00 



General 

Vote 68 I n foreseen Expenses, $80,000, transfer $ 3,335 91 



Comments on Expenditures 

Under the authority of P.C. 27/7474 of Sept. 23, 1941, Canada participated in a special 
Conference of the International Labour Organization of the League of Nations held in 
New York, U.S.A., and which opened on Oct. 27, 1941. Payments were for the expenses 
of the delegates and technical advisers. 

Special 

Vote 109 Relief Settlement Agreements with the Provinces 75,000 00 

Expenditures 37,686 40 



Lapsed $ 37,313 60 



Allotments 

authorized Expenditures 

Commitments 1941-42 $ 75,000 00 $ 37,686 40 



The amount of the above vote was not subdivided in the Estimates details; the allot- 
ments were authorized by the Treasury Board. 

Comments on Expenditures 

In accordance with agreements commented upon under Vote 111 (a), the following 
amount- were paid the provinces: Quebec, 835,009.27; Manitoba, $963.44; Alberta, $1,713.69. 



Contributions to Youth Training Program, Youth Training Act, c. 35, 

1939 $ 405,632 81 



Comments on Expenditures 

Section 3 of the Act provides $4,500,000 for the purpo.se of training unemployed young 
people, $1,500,000 being available for each of the fiscal years 1939-40, 1940-11 and 1941-42. 
Section 4 of the Act provides that any portion of any appropriation authorized which remains 
unexpended at the expiration of any of the said fiscal years shall be carried forward and 
remain available according to its apportionment during any one or more of the succeeding 
fiscal years provided, however, that no portion of the said S4,500,000 shall be paid to any 
province after March 31. I!)!.']. Sen ion 6 of the Act stipulates that the grant payable 
in any year to any province shall he approved by the Governor in Council and also that 
the amount allotted to a province shall not exceed an amount equivalent to that which 
the provincial government shall agrei to expend. 

The following amount- wo paid en aecounl of previous year's commitments: Princ< 
Bdward Island, $252.28; New Brunswick, s;i6i.70; Quebec, $107,780.83; Ontario. $2,791.09; 
jianitoba, S14.700.2S; Saskatchewan. $4,380.14; Alberta, $5,467.49; British Columbia. $1,304.11. 

The following amount- were paid on account of commitments of 1941-42: Prince Edward 
JMand, $9,935.05; Nova Scotia, S13.220.50; New Brunswick. S13.146.S0; Quebec, $122,064.80; 
Ontario. S2.369.36: Manitoba. $24,038.11; Saskatchewan, $8,24230; Alberta, $51,123.74; British 
Columbia. $24,461.23. 



150 AUDITOR GENERAL'S REPORT 

Vote 110 Rehabilitation of Unemployed Higher Age Persons 125,000 00 

Expenditures 35,064 60 

Lapsed $ 89,935 40 



Allotments 
authorized Expenditures 



Commitments, 1941-42 53,000 00 35,064 60 

Unallotted 72,000 00 



$ 125,000 00 $ 35,064 60 



The amount of the above vote was not subdivided in the Estimates details; the allot- 
ments were authorized by the Treasury Board. 

Comments on Expenditures 

Agreements were entered into with the provinces for the purpose of training or retrain- 
ing higher age persons who, through continuous unemployment, experienced difficulty in 
establishing themselves, the projects being, training in hardrock mining, agricultural training, 
farm chore plan, etc. 

The following amounts were paid: Nova Scotia, $18,774.77; New Brunswick, $3,606,28; 
Manitoba, $11,415.77; Saskatchewan, $128.62; Alberta, $1,139.16. 

Vote 111 Relief Projects, $2,722,700, less $370,000 transferred 2,352,700 00 

Expenditures 1,565,713 26 

Lapsed $ 786,986 74 

Allotments 
authorized' 

Commitments, previous years' 

A Relief Settlement 250,000 00 

B Farm Employment 1,000 00 

C Rehabilitation of Unemployed 7,068 39 

D Direct Relief 972,533 68 

E Works Projects 55,000 00 

F Transportation of Destitute Families, Ontario 83 38 

G National Forestry Program 78 00 

H Vacant Land Gardening 457 64 

Commitments, 1941-42 

I Quebec Sewer Project 452,700 00 305,193 33 

Unallotted 613,778 91 



Expenditures 


229,609 99 


772 16 


4.149 63 


972,398 83 


52,970 30 


83 38 


78 00 


457 64 



$2,352,700 00 $1,565,713 26 



The amount of the above vote was not subdivided in the Estimates details; the 
allotments were authorized by the Treasury Board. 

Comments on Expenditures 

A Under the provisions of the Relief Act, 1932, agreements were entered into with the 
provinces for the purpose of providing a measure of self-sustaining relief to families by 
placing them on the land. Further agreements under the Relief Acts of 1934, 1935, 1936 and 
1940 provided for continuity of settlement and also for additional placements of families. 
The Dominion contribution amounts to one-third of the non-recoverable expenditures, 
the provinces and municipalities contributing two-thirds except in unorganized muni- 
cipalities where the Dominion and province share equally. 

The following amounts were paid: Quebec, $204,624.69; Manitoba, $17,267.94; Alberta, 
$7,717.36. 



DEPARTMENT OF LABOUR 151 

B Agreements were entered into with the provinces respecting the placing of men os 
farms; the following amounts were paid: Saskatchewan, $3.75; British Columbia, 1768 11. 

C The following amounts were paid the provinces: New Brunswick, S125; Ontario, SIT:;."); 
Manitoba, $3,487.02; Alberta, $490.26. 

D Under agreements with the province's, the Dominion contributed for direct relief (food, 
fuel, clothing ami shelter, or cash in lieu thereof) the following amounts: Quebec, 
sti()S.487.24; Ontario, $36,S52.1S; Manitoba, $106,989.89; Saskatchewan, $3,974.48; Albert.!, 
$43,848.17; British Columbia, $172,246.87. 

E The following amounts were paid the provinces: Prince Edward Island, $4,988.36; Nov;i 
Scotia, $2,900.48; Quebec, $39,680.77; Manitoba, $357.76; Saskatchewan, S4,874.38; Alberta, 
$168.55. 

G An amount of $7S was paid to the Department of Pensions and National Health for 
medical services. 

H The Province of Ontario was paid an amount of $457.64. 

I Inder special agreement, the Province of Quebec received $305,193.33 towards the cost 
of constructing an intercepting sewer system in Quebec City. 

Further Dominion assistance was provided for the Quebec sewer project by the transfer 
of $370,000, P.C. 5037 of July 9, 1941, from this vote to the Federal Department of Public 
Works. 



Vote 112 Administration expenses generally — Unemployment Relief 

and Youth Training 97,936 00 

Expenditures 61,774 89 

Lapsed $ 36,161 11 



Allotments 

authorized Expenditures 

A Salaries 85,936 00 56,539 03 

B Travelling Expenses 7,000 00 3,277 89 

C Printing and Stationery 3,000 00 1,543 18 

D Communications 1,200 00 350 S3 

E Miscellaneous 800 00 63 96 

$ 97,936 00 $ 61,774 89 



The amount of the above vote was not subdivided in the Estimates details; the allot- 
ments were authorized by the Treasury Board. 



Comments on Expenditures 

A The following employees were receiving annual salaries of 31,800 or over at March 31, 
1942, or at date of separation (shown in brackets): H. H. Hereford, Dominion Commis- 
sioner, $6,500; W. S. Boyd, $2,100; R. Brown, $4,500 (S3,000 paid from Vote 107); J. B. 
Carter, $3,360 (May 19); J. K. Houston, $2,500; F. LaFortune, $2,100; H. Mitchell, 
$6,000 (Nov. 15); P. R. Parent, $2,700; K. J. Price, $1,920 (May 25); R. F. Thompson, 
$5,000. 

B Travelling expense payments of $200 or over were: J. P. Bell, S633.60; F. LaFortune, 
$1,754.73; M. M. MacKinnon, $246.62. 



152 AUDITOR GENERAL'S REPORT 

Vote 112 Administration expenses generally — National Registration . . 33,000 00 

Expenditures 26,633 94 



Lapsed $ 6,366 06 



Allotments 
authorized Expenditures 

A Salaries 25,500 00 23,564 28 

B Travelling Expenses • 335 00 

C Printing and Stationery 2,800 00 256 95 

D Communications 165 00 35 31 

E Miscellaneous 500 00 1S9 90 

F Rental of Machines 3,700 00 2,587 50 



$ 33,000 00 $ 26,633 94 



The amount of the above vote was not subdivided in the Estimates details; the allot- 
ments were authorized by the Treasury Board. 

Comments on Expenditures 

A This amount represents 5 months' salary to August 31, of employees who were sub- 
sequently transferred and paid from War Allotment — Man Power Inventory Branch. 
Details of salaries are shown under the War Allotment. 

F This amount was paid to' the International Business Machine Co. Ltd., Toronto. 



LEGISLATION 



REVENUES 



THE SENATE 

1941-42 
Casual Revenue — 

F.os on private bills 12,714 51 

Less — Fees on private bills refunded 928 79 627 27 

Excess of printing charges 40 50 

11,785 72 

Certified copies 263 31 

Less— Excess of fees returned 2 30 261 01 

Refund of previous year's expenditure. . 90 00 



$ 12,136 73 



1940-4 1 
16,215 05 

667 77 

15,547 28 
281 65 



$ 15,828 93 



Certified correct. 



L. C. MOYER, 
Clerk of the Senate. 



In accordance with the provisions of 
Section 45 (1) of the Consolidated Revenue 
and Audit Act, I^have satisfied myself that 
the above revenues for 1941-42 have been 
fully accounted for. 



WATSON SELLAR, 

Auditor General. 



HOUSE OF COMMONS 

Casual Revenue — 

Fees and charges on private bills 

Registration fees, parliamentary agents 
Refund of previous year's expenditure 



1941-42 



1940-41 





1.510 00 
225 00 




1.691 8S 

200 00 

20 50 


s 


1,736 00 


S 


1.912 3S 



Certified correct. 



ARTHUR BEAUCHESNE, 

Clerk of Uic House of Common*. 



In accord:i nee with the provisions of 
Section 45 (1) of the Consolidated Revenue 
and Audit Act. I have satisfied myself that 
the above revenues for 1941-42 have been 
fully accounted for. 



153 



WATSON SELLAR. 

Avlitor General. 



50727—11 



154 



AUDITOR GENERAL'S REPORT 



APPROPRIATIONS AND EXPENDITURES 



A total of $2,079,783.04 was available for expenditure on account of Legislation, of 
which $1,212,296.02 was provided in the annual appropriation acts and $867,487.02 was 
authorized by continuing statutory provisions. Expenditures were $1,951,264.55 for the 
fiscal year 1941-42, a decrease of $1,512,629.62 from that of $3,463,894.17 in 1940-41. 



No. of 
Vote 



Statutory 
Statutory 

113 
Statutory 

424 



482 



Services 



Appropriations Expenditures 



Lapsed 



114 



THE SENATE 

The Speaker of the Senate — 
Salary — Senate and House of 
Commons Act, c. 147, R.S 

Motor Car Allowance — Appropria- 
tion Act No. 5, c. 61, 1931 

Allowance in lieu of Residence.. 
Members of the Senate — 

Indemnity to Senators and Trans- 
portation Expenses, Senate and 
House of Commons Act, c. 147, 
R.S 

Payment to each member of the 
Senate who attended the second 
part of the last session which 
commenced on Feb. 17, 1941, 
and ended June 14, 1941, of an 
amount representing the actual 
transportation and living ex- 
penses of such member while on 
the journey between Ottawa and 
his place of residence, after the 
adjournment of Parliament on 
June 14, 1941, and on the return 
journey from his place of resi- 
dence to Ottawa at the end of 
the recess which commenced on 
that date and ended on Nov. 3, 
1941, or, in case any such mem- 
ber did not return to his place of 
residence during the said recess, 
an amount equivalent to what 
would have been his travelling 
expenses if he had returned to 
his place of residence during the 
said recess 

Payment of the full sessional in- 
demnity for the Session of 1941 
to Members of the Senate for 
days lost through absence due to 
public business, by illness, or on 
account of death. Payments to 
be made as the Treasury Board 

may direct 

General Administration 



6,000 00 


6,000 00 


1,000 00 


1,000 00 


3,000 00 


3,000 00 



218,937 60 



218,937 60 



5,000 00 



2,620 20 



2,379 80 



10,000 00 


4,525 00 


5,475 00 


203,400 00 


187,484 22 


15,915 78 


447,337 60 


423,567 02 


23,770 58 



Vote 

Statutory 
Statutory 
115 

Statutory 
116 

Statutory 

Statutory 
Statutory 
426 



6,000 00 

1,000 00 
3,000 00 



4,000 00 
1,500 00 



LEGISLATION 155 

Services Appropriation Expenditures Lapsed 

HOUSE OF COMMONS 

The Speaker of the House of 
Commons — 
Salary — Senate and House of 

Commons Act, c. 147, R.S 6,000 00 

Motor Car Allowance— Appropria- 
tion Act No. 5, c. 61, 1931 1,000 00 

Allowance in lieu of Residence.. 3,000 00 

The Deputy Speaker of the House 
of Commons — 
S a 1 a r y — Senate and House of 
Commons Act, c. 147, R.S 4,000 00 

Allowance in lieu of Apartments. . 1,500 00 

Members of the House of Com- 
mons — 

Indemnity to Members, including 
additional Indemnity to the 
Leader of the Opposition- 
Senate and House of Commons 
Act, c. 147, R.S 615,340 00 

Motor Car Allowance— Leader of 
the Opposition, Appropriation 
Act No. 5, c. 61, 1931 2,000 00 

Travelling Allowances to Mem- 
bers—Senate and House of 
Commons Act, c. 147, R.S 12,789 42 

Payment to each member of the 
House of Commons who at- 
tended the second part of the 
last session which commenced 
on Feb. 17, 1941, and ended 
June 14, 1941, of an amount 
representing the actual trans- 
portation and living expenses of 
such member while on the 
journey between Ottawa and his 
place of residence, after the 
adjournment of Parliament on 
June 14, 1941, and on the return 
journey from his place of resi- 
dence to Ottawa at the end of 
the recess which commenced on 
that date and ended on Nov. 3, 
1941, or, in case any such mem- 
ber did not return to his place 
of residence during the said 
recess, an amount equivalent to 
what would have been his 
travelling expenses if he had re- 
turned to his place of residence 
during the said recess 10,000 00 6,188 09 3,811 91 



615,340 00 

2,000 00 

12,789 42 



59727-1 U 



156 AUDITOR GENERAL'S REPORT 

No. of 

Vote Services Appropriation Expenditures Lapsed 

484 Full sessional indemnity to Mem- 

bers of the House of Commons — 
days lost through absence 
caused by illness, official public 
business, or on account of death 
during the present session — not- 
withstanding anything to the 
contrary in Chapter 147 of the 
Revised Statutes, 1927, an Act 
respecting the Senate and House 
of Commons or any amendment 
thereto. Payments to be made 
as the Treasury Board may 
direct 15,000 00 6,620 00 8,380 00 

485 Payment to each Member of the 

Senate and of the House of 

Commons who attended the first 

part of the present session, of 

an amount representing the 

actual moving or transportation 

expenses and reasonable living 

expenses of such Member while 

on the journey between Ottawa 

and his place of residence after 

the adjournment of Parliament 

on Dec. 6, 1940, and on the 

return journey from his place of 

residence to Ottawa at the end 

of the recess which commenced 

on the said date, or in case any 

such member did not return to 

his place of residence during the 

said recess an amount equiva- 
lent to what would have been 

his travelling expenses if he had 

returned to his place of resi- 
dence during the said recess 2,000 00 290 10 1,709 90 

117 General Administration — Estimates 

of the Clerk 486,135 00 437,586 64 48,548 36 

483 General Administration — Estimates 
of the Clerk — to provide for Ex- 
penses of the Special Committee 
on War Expenditures and to 
authorize expense allowances to 
Members during the adjournment 
of the present Session at the rate 
of $15 per day for days spent at 
Ottawa for purposes of the Com- 
mittee and the payment and 
acceptance thereof notwithstand- 
ing anything to the contrary in 
Chapter 147 of the Revised 
Statutes, 1927, an Act respecting 
the Senate and House of Com- 
mons or any amendment thereto, 
such payments to be made as the 
Commissioners of Internal Econ- 
omy of the House of Commons 
direct 25,000 00 17,713 46 7,286 54 



LEGISLATION 157 

No. of 

Vote Services Appropriation Expenditures 

118] Estimates of the Sergeant-at- 

420, 125} Arms 290,217 .11 289 Hi! S6 1,056 69 

11!) Subscriptions to publications of the 
Empire Parliamentary Associa- 
tion to be distributed to Members 
of the House of Commons 2,000 00 2,000 00 

SUPERANNUATION AND 
RETIREMENT BENEFITS 

Statutory Gratuities to families of deceased 
employees, Civil Service Act, c. 22, 

RS 420 00 420 00 

1476,401 06 1406,60 < 70,702 40 

GENERAL 

120 Printing of Parliament, including 

salaries of staff of the Joint Dis- 
tribution Office 75,000 00 47,255 37 27 744 63 

LIBRARY OF PARLIAMENT 

121 General Administration 78,655 00 72.502 51 6,152 40 

PENSIONS AM) OTHKB BENEFITS 

486 To authorize payment from the 
Consolidated Revenue Fund to 
Mrs. Evalyn Margaret McCarthy, 
daughter of the late Sir Mackenzie 
Bowell, of an annuity at the rate 
of $1,000 to commence from 
April 1, 1941. and to continue dur- 
ing her lifetime 1,000 00 999 96 04 

122 Pension to the unmarried sister of 

the late Col. Harry Baker, M.P.. . 700 00 641 65 58 35 

GENERAL 

6S Unforeseen Expenses S80 ; 000; trans- 

fer 688 IS 688 48 

Total Ordinary Expenditures S2,079.7S3 04 81,951,264 55 S 128,518 49 

n ,. c , These accounts have beeu examined and 

( ertmed C0Trect audited under my direction, in accordance 

t> n ™ TXTrr with the Provisions of the Consoli I 

B. G. MrIN f\RE, Revenue and Audit Act, and subject to 

LomptroUer of the Treasury. the observations in this report. I certify 

that in my opinion they are con 

WATSON 3ELLAR, 

.1 ditor Oem 

in i : 8ENATE 

Salary of the Speaker of the Senate— Senate and House of Commons Art. 

e. 147, R.S s 600Q 0Q 

Comments on Expenditures 

Salary was paid to the Honourable (i. Parent. 



158 AUDITOR GENERAL'S REPORT 

Motor Car Allowance, Speaker of the Senate — Appropriation Act, No. 5, 

c. 61, 1931 $ 1,000 00 



Comments on Expenditures 

Motor Car Allowance was paid to the Honourable G. Parent. 



Vote 113 Allowance in lieu of residence to the Speaker of the Senate. . 3,000 00 

Expenditures $ 3,000 00 



Comments on Expenditures 

Allowance was paid to the Honourable G. Parent. 



Indemnity to Senators and Transportation Expenses — Senate and House 

of Commons Act, c. 147, R.S $ 218,937 60 



Comments on Expenditures 

Nineteenth Parliament: Second Session, November 7, 1940, to January 21, 1942 — 
Indemnities, $104,625 and Transportation Expenses, $120; Third Session, beginning January 22, 
1942 — payments on account of Indemnities, $109,980, and Transportation Expenses, $4,212.60 
(balance paid in 1942-43). 



Vote 424 Payment to each member of the Senate who attended the 
second part of the last session which commenced on Febru- 
ary 17, 1941, and ended June 14, 1941, of an amount 
representing the actual transportation and living expenses 
of such member while on the journey between Ottawa 
and his place of residence, after the adjournment of 
Parliament on June 14, 1941, and on the return journey 
from his place of residence to Ottawa at the end of the 
recess which commenced on that date and ended on Novem- 
ber 3, 1941, or, in case any such member did not return 
to his place of residence during the said recess, an amount 
equivalent to what would have been his travelling expenses 
if he had returned to his place of residence during the said 

recess 5,000 00 

Expenditures 2,620 20 



Lapsed $ 2,379 80 



Vote 482 Payment of the full sessional indemnity for the session of 
1941 to Members of the Senate for days lost through 
absence due to public business, by illness, or on account 
of death. Payments to be made as the Treasury Board may 

direct 10,000 00 

Expenditures 4,525 00 



Lapsed $ 5,475 00 



Comments on Expenditures 

Payments were made to the following: Widow of the Honourable J. J. Hughes, 
$4,000; R. H. Pope, $25; J. D. Taylor, $500. 



LEGISLATION 159 

Vote 114 General Administration 203,400 00 

Expenditures 187,484 22 

Lapsed $ 15,915 78 

Estimates Allotments 

details authorized Expenditures 

A Salaries, Wages and Allowances 173,900 00 173,900 00 173,518 95 

B Printing and Stationery 10,000 00 10,000 00 2,939 81 

C Newspapers and Periodicals 2,500 00 2,500 00 2,258 27 

D Postage and Carriage of Mails 1,000 00 1,000 00 759 08 

E Debates, King's Printer 8,000 00 8,000 00 4,541 63 

F General Expense 8,000 00 8,000 00 3,466 48 



$ 203,400 00 $ 203,400 00 $ 187,484 22 



Comments on Expenditures 

A As of March 31, 1942, there were 133 employees paid from this vote. The following 
were receiving annual salaries of $2,400 or over on that date, or at date of separation 
(shown in brackets): L. C. Moyer, Clerk of the Senate, $7,500; H. V. Attfield, 83,000, 
allowance as Speaker's Private Secretary, $600; F. Berryman, $3,480; L. de Montigny, 
$4,740; H. H. Emerson, $3,480; L. P. Gauthier, $5,100; D. J. Halpin, $4,620; A. H. Hinds, 
$4,440; B. P. Lake, $3,480; C. H. Larose, $2,520; J. F. MacNeill, $6,000; J. O. A. Roy, 
$3,420; A. R. Thompson, $4,140, allowance in lieu of residence, $600; N. M. Wood, $2,520. 
P. Larocque was paid $2,757.74 (including $567.74 as Private Secretary to the Leader 
of the Government-The Senate, from April 1, 1941 to March 11, 1942) ; E. M. Edmondson, 
a sessional employee was paid $475.81 as Private Secretary to the Leader of the Opposition 
from April 1, 1941, to January 16, 1942. 

HOUSE OF. COMMONS 

Salary of the Speaker of the House of Commons — Senate and House of 

Commons Act, c. 147, R.S $ 6,000 00 



Comments on Expenditures 

Salary was paid to the Honourable J. A. Glen. 

Motor Car Allowance, Speaker of the House of Commons — Appropriation 

Act, No. 5, c. 61, 1931 $ 1,000 00 



Comments on Expenditures 

Motor Car Allowance was paid to the Honourable J. A. Glen. 

ote 115 Allowance in lieu of residence to the Speaker of the House of 

Commons 3,000 00 

Expenditures $ 3,000 00 



Comments on Expenditures 

Allowance was paid to the Honourable J. A. Glen. 

alary of the Deputy Speaker of the House of Commons — Senate and 

House of Commons Act, c. 147, R.S $ 4,000 00 



Comments on Expenditures 
Salary was paid to Thomas Vien. 



160 AUDITOR GENERAL'S REPORT 

Vote 116 Allowance in lieu of apartments to the Deputy Speaker of the 

House of Commons 1,500 00 

Expenditures $ 1.500 00 



Comments on Expenditures 

Allowance was paid to Thomas Vien. 



Indemnity to members, including additional Indemnity to the Leader of 
the Opposition — Senate and House of Commons Act, c. 
147, R.S $ 615,340 00 



Comments on Expenditures 

Indemnity was paid as follows: Nineteenth Parliament — Second Session. November 7, 
1940, to January 21, 1942, $272,180 (balance of $702,900 was paid in 1940-41) ; Third Session, 
beginning January 22, 1942, payments on account, $333,160 (balance paid in 1942-43). 
Additional Indemnity of $10,000 was paid to the Honourable R. B. Hanson, as Leader 
of the Opposition. 



Motor Car Allowance, Leader of the Opposition — Appropriation Act, No. 5, 

c. 61, 1931 $ 2,000 00 



Comments on Expenditures 

Allowance was paid to the Honourable R. B. Hanson. 



Travelling allowances to members — Senate and House of Commons Act, 

c. 147, R.S $ 12,789 42 



Comments on Expenditures 

Allowances were paid as follows: Nineteenth Parliament — Second Session, 
$325.25; Third Session, $12,464.17. 



Vote 426 To provide, notwithstanding anything contained in the Senate 
and House of Commons Act, for the payment to each mem- 
ber of the House of Commons who attended the second 
part of the last session which commenced on February 17, 
1941, and ended June 14, 1941, of an amount representing 
the actual transportation and living expenses of such mem- 
ber while on the journey between Ottawa and his place of 
residence, after the adjournment of Parliament on June 14, 
1941, and on the return journey from his place of residence 
to Ottawa at the end of the recess which commenced on 
that date and ended on November 3, 1941, or, in case any 
such member did not return to his place of residence dur- 
ing the said recess, an amount equivalent to what would 
have been his travelling expenses if he had returned to 

his place of residence during the said recess 10,000 00 

Expenditures 6,188 09 



Lapsed $ 3,811 9l\ 



I.hlCISLATION 



161 



Vote 484 To provide for the full sessional indemnity to Members of 
the. House of Commons — days /o.sf through absences caused 
by illness, official public business, or on account of death 
during the present Session — notwithstanding anything to 
the contrary in Chapter 147 of the Revised Statutes, 1927, 
in act respecting the Senate and House of Commons, or 
any amendments thereto. Payments to be made as the 

Treasury Board may direct 

Expenditures 



15,000 00 
6,620 00 



Lapsed £ 



8,380 00 



Comments on Expenditures 

Indemnities were paid to the following: H. Authier, S75; E. Bertrand, $75; F. C. Cassel- 
man, SI. 320; W. Esling, $500; Hon. J. L. Ralston, S25; Hon. W. E. Rovve, $100; A. G. 
plaght, S75; G. E. Wood, $450; J. S. Woodsworth, S1.000. 

Vote 485 To provide, notwithstanding anything contained in the Senate 
and House of Commons Act, for the payment to each mem- 
ber of the Senate and of the House of Commons who 
attended the first part of the present session, of an amount 
representing the actual moving or transportation expenses 
and reasonable living expenses of such member while on 
the journey between Ottawa and his place of residence 
after the adjournment of Parliament on December 6, 1940, 
and on the return journey from his place of residence to 
Ottawa at the end of the recess which commenced on the 
said date, or, in case any such member did not return to 
his place of residence during the said recess, an amount 
equivalent to what would have been his travelling expenses 
if he had returned to his place of residence during the 

said recess — House of Commons (Revote) 2,000 00 

Expenditures 290 10 



Lapsed $ 



1,709 90 



Vote 117 General Administration — Estimates of the Clerk 486,135 00 

Expenditures * 437.586 64 



Lapsed $ 48,548 36 



Estimates 
details 

Pennant nt Salaries 179,515 00 

Temporary clerical, secretarial and steno- 
graphic staff employed continuously 35,000 00 

Temporary sessional staff 159,000 00 



A Total Salaries 373,515 00 

B Allowances 2.300 00 

C Stationery 31.000 00 

D Purchase of 360 copies of Canadian Annual 

Review i 2.340 00 

E Postage, Telegrams and Telephones 2.500 00 

F Newspapers and Advertising 3,800 00 

G Expenses of Committees 13.000 00 

H Publishing Debates 47,330 00 

I Transportation of Mails 1,550 00 

J Sundries 5,800 00 



Allotments 
authorized 

156.94S 75 



56.000 00 
160.500 00 

373, 1 1 1 75 

2,300 00 
34.000 00 

2.340 00 

2.500 00 

3,800 00 

13,000 00 

17:530 00 

1.616 25 

5,S00 00 



Expenditures 
679 40 

55-301 43 
1 18,735 86 



7 1 6 69 

1.700 00 

28,093 -I 



1,759 28 

2 18 

129 10 

47.330 00 

1,616 25 

'.) 30 



S 486,135 00 S 4S6.135 00 S 437 " 






162 AUDITOR GENERAL'S REPORT 

Comments on Expenditures 

A As of March 31, 1942, there were 235 employees paid from this vote. The following 
were receiving salaries of $2,400 or over on that date, or at date of separation (shown 
in brackets): A. Beauchesne, Clerk of the House of Commons, $7,500; R. Arsenault, 
$3,960; D. O. Ayotte, $2,970; R. A. Bell, $3,960; H. Benoit, $2,880; L. Boulet, $3,180; 

C. W. Boyce, $4,620; I. A. Boyce, $2,400; P. R. Burt, $2,760; W. W. Buskard, $3,360; 

D. R. Butt, $3,000; F. Charpentier, $4,320; W. J. Clinton, $3,000; L. P. J. Desrosiers 
(May 31), $3,600; J. P. Doyle, $2,520; J. T. Dun, $4,620; C. L. Empringham, $3,480; 

E. L. Featherston, $3,480; A. A. Fraser, $4,620; T. M. Fraser (January 21), $5,120; 

F. W. S. Galbraith, $3,960; L. C. Hill, $2,400; W. Hill, $2,520; J. Howe, $3,240; T. S. 
Hubbard, $3,480; L. A. Kearns, $2,400; W. F. A. Lalonde, $2,640; J. H. Mackay, $4,140; 
T. R. Montgomery, $3,960; H. Oliver, $3,480; P. M. Ollivier, $4,620; G. H. Playle, 
$3,480; M. Rutherford (July 31), $2,520; F. Schryburt, $3,000; P. H. Shelton, $3,120; 
H. C. Sherwood, $3,360; J. H. Smith, $3,480; V. A. Smith, $2,400; R. A. Whitman, 
$3,000; E. C. Young, $4,620. 

The amount charged to Permanent Salaries includes $1,123.55 paid to T. M. Fraser, 
Assistant Clerk of the House of Commons. This is a gratuity equal to the difference 
between four months' salary — retiring leave with pay — and superannuation, and the pay- 
ment is authorized by P.C. 1/454 of January 21, 1942. 

B Allowances of $600 per annum each were authorized for the Secretaries of the Speaker 
and the Deputy Speaker, $600 for the Sergeant-at-Arms in lieu of residence and $500 
for the Acting Deputy Sergeant-at-Arms. These were paid with the exception of that 
for the Sergeant-at-Arms in lieu of residence, which lapsed owing to the absence of 
M. F. Gregg, on active service. 



Vote 483 General Administration — Estimates of the Clerk — To provide 
for expenses of the Special Committee on War Expendi- 
tures and to authorize expense allowances to Members dur- 
ing the adjournment of the present Session at the rate 
of $15 per day for days spent at Ottawa for purposes of 
the Committee and the payment and acceptance thereof 
notwithstanding anything to the contrary in Chapter 147 
of the Revised Statutes, 1927, An Act respecting the Senate 
and House of Commons, or any amendments thereto, such 
payments to be made as the Commissioners of Internal 
Economy of the House of Commons direct 25,000 00 

Expenditures 17,713 46 



Lapsed $ 7,286 54 



Comments on Expenditures 

Payments were made as follows: expense allowance of $15 per day to members, $11,460; 
committee clerks, $6,079.66; sundry expenses, $173.80. 



Vote 118 Estimates of the Sergeant-at-Arms 211,278 00 

Vote 425 Further amount required 64,775 00 

Vote 420 Cost of living bonus 14,164 54 

290,217 54 
Expenditures 289,161 85 

Lapsed $ 1,055 69 



LEGISLATION 

Estimates 
details 

Permanent Salaries 38,560 26 

Temporary Assistance : — 

Pages 5,700 00 

Sessional and extra messengers, protective 

service, etc 91.230 03 

Charwomen 33,271 04 

Servants 83,411 89 

A Total Salaries 252,173 22 

B Joint Parliamentary Restaurant 21,994 32 

C Tradesmen and Others 13,750 00 

D Housekeeper's Contingencies 500 00 

E Transportation: motor services and mes- 
senger service between the House and 

Government Printing Bureau, etc 800 00 

F Unforeseen Expenses: By Order of the 
Board of Commissioners (Gratuities to 

retiring sessional messengers, etc.) 1,000 00 

$ 290,217 54 



163 



Allotments 
authorized 


Kxpenditures 


38,560 26 


38,560 26 


5,236 77 


5,236 77 


91,693 26 
33,271 04 
83,411 89 


91,693 26 
33,271 04 
83,411 89 


252,173 22 

21.994 32 

13,750 00 

500 00 


252,173 22 

21,994 32 

13,731 95 

478 59 


800 00 


633 77 


1,000 00 


150 00 



$ 290,217 54 S 289,161 85 



Comments on Expenditures 

A As of March 31, 1942, there were 252 employees paid from these votes. There were 

no employees receiving annual salaries of $2,400 or over. 
A B Vote 420 is charged with $14,164.54 to avoid overdrafts in these appropriations 

due to payments of Cost-of-Living Bonus (T.221498B). 



Vote 119 Subscriptions to publications of the Empire Parliamentary 
Association to be distributed to members of the House 

of Commons 

Expenditures i 

SUPERANNUATION AND RETIREMENT BENEFITS 
Gratuities to families of deceased employees — Civil Service Act, c. 22, R.S.., 



2,000 00 
2,000 00 



420 00 



GENERAL 

Vote 120 Printing of Parliament, including salaries of staff of the Joint 

Distribution Office 75,000 00 

Expenditures 47,255 37 

Lapsed $ 27,744 63 

Estimates Allotments 

details authorized Expenditures 

Permanent Salaries 6,630 00 6,712 47 6,712 47 

Temporary Assistance 2,575 00 2,492 53 1,939 73 

A Total Salaries 9,205 00 9.205 00 S.652 20 

B Printing. Printing Paper and Binding 65,795 00 65,795 00 38,603 17 

S 75,000 00 S 75,000 00 S 17.255 37 



A As of March 31, 1942, there were 5 employees paid from this vote. 

employees receiving annual salaries of $2,400 or over. 
B All accounts for printing were paid to the King's Printer. 
59727— 12 1 



There were no 



164 AUDITOR GENERAL'S REPORT 

LIBRARY OF PARLIAMENT 

Vote 121 Library of Parliament — General Administration 78,655 00 

Expenditures 72,502 51 

Lapsed 

Estimates 
details 

A Salaries 61,505 00 

B Books — for General Library, including bind- 
ing 13,000 00 

C Books — for the Library of American History 1,000 00 

D To provide for Cost of Printing Reports.. 1,000 00 

E Printing and Stationery 1,000 00 

F Sundries 1,150 00 



$ 




6,152 49 






Allotments 
authorized 

61,505 00 

13,000 00 
1,000 00 
1.000 00 
1,003 51 
1,146 49 


Expenditures 
56,295 13 

12,872 69 

996 91 

553 26 

1,003 51 

781 01 


$ 78,655 00 


$ 


72,502 51 



Comments on Expenditures 

A As of March 31, 1942, there were 16 employees paid from this vote. The following 
were receiving annual salaries of $2,400 or over on that date : F. Desrochers, General 
Librarian of Parliament, $6,000; E. Bilodeau, $4,140; J. C. Brown, $2,400; F. A. Hardy, 
$4,140; T. E. Monette, $2,400; J. Tarte, $3,720; H. D. Throop, $3,000. 

B Amounts for Books, including binding, were paid to the following: E. G. Allen Son, 
Ltd., London, England, $2,455.73; James Hope and Sons, Ltd., Ottawa, $2,039.56; Charles 
Scribner's Sons, New York, $1,335.62. Supplies from the King's Printer cost $3,663.44 
and sundry accounts under $1,000 amounted to $5,156.26. 

F All charges under Sundries were for Transportation on books, etc. 

PENSIONS AND OTHER BENEFITS 

Vote 486 To authorize payment from the Consolidated Revenue Fund 
to Mrs. Evalyn Margaret McCarthy, daughter of the late Sir 
MacKenzie Bowell, of an annuity at the rate of $1,000 to 
commence from April 1, 1941, and to continue during 

her lifetime 1,000 00 

Expenditures 999 96 



Lapsed $ 04 



Vole 122 Pension to the unmarried sister of the late CoL Harry Baker, 

M.P 700 00 

Expenditures 641 65 



Lapsed $ 58 35 



GENERAL 



Vote 68 Unforeseen Expenses, $80,000; transfer 688 48 

Expenditures $ 688 48 



Comments on Expenditures 

The following payments were made: $641.63 to Harriet Baker, being pension payment 
for 1940-41 but not paid in that year; $46.85 to the Speaker under authority of Treasury 
Board Minute, T. 217699B. 



DEPARTMENT OF MINES AND RESOURCES 

REVENUES 



Summary 

Ordinary Revenue: — 1941- ij 

I dominion Lands— 

( Canadian National Parks 464,214 00 

Northwest Territories 105 630 21 

Yukon Territory 86^242 72 

Forest Service 20,207 81 

Public Lands 12202 95 



1940 11 



382,733 re 

146,872 19 
!>7.714 74 
28,412 12 
20,227 64 

Surveys and Water Power 36,032 77 12 I'M 15 

' [finance Lands 3 4 )701 66 39 ' 488 3Q 

( hinese Immigration Revenue 655 00 2 174 00 

Casual Revenue 182)965 77 I80 | 021 23 

rines and Forfeitures 24,082 93 26,001 67 

. . ^ t/)28 J 935 8$ 069 80 

Special Revenue 38)1 2 71 1 391 70 



SI, 065 ,056 53 $ 937,461 50 



Revenues lor the year 1941-42 were approximately $127,000 more than in 1940-41. Increases 
are noted chiefly m the following classifications: Canadian National Parks $81480 24- 
Northwest Territories, $18,758.02; Surveys, $23,908.62 and Special Revenue' $36 729 01- 
decreases as follows, Yukon, $11,472.02; Forest Service, $8,204.31 and Public Lands, $8,024.69'. 
In the Canadian National Parks, auto and livery licences, timber permits and sale of buffalo 
products accounted for $65,000 of the $81,000 increase. The gain of $12,000 in livery licence 
revenue was due in part to collection of 5 per cent of gross livery earnings instead of the 
usual fixed rate per car, whilst a $25,000 increase in proceeds from sales of buffalo products 
was achieved by charging a higher rate per lb. In the Northwest Territories, revenues derived 
from fur exports increased $28,000 and timber sales $5,000. Decreases were noted in all phases 
of mining activity, the total being $18,000. The increase of $24,000 in Surveys Revenue can be 
ascribed wholly to the purchase of maps by the United States Army. Repayments of advances 
under Special Revenue were greater than the previous year. These advances had been mad* 
by the Immigration Branch through United States Consular Offices to Canadian National- 
detained or interned in enemy occupied or controlled territories. The revenue decreases in 
the Yukon, Forest Service and Public Lands resulted from lessened mining activities, reduction 
in the number of sales of timber in silvicultural operations at Petawawa and fewer land Bales 
respectively. 

Details 

Dominion Lands: 

A Canadian National Parks — 

Licences: Auto, $115,090.31; business, $6,060; chauffeurs, $662; dog, $915; 

fishing, $1,536.24; guide, $127; hotel, rooming and boarding house $1 616- 

livery, $19,033.43; taxidermists, $62.15 ' ' 145 10° IS 

Park rales: Cemetery, S108; electric light, $75,734.47; garbage, ' $7,479.68 • 

ice lockers, $519.25; rentals, $26,980.79; sewer, $7,376.88; telephones 

818,043.59; water, $27,376.83 " 103 619 49 

Permits: Building. $279; camping, $12,285; duck bunting, $314; grazing, $26* 

timber, $30,896.30; miscellaneous, $5.186.85 ' ls os6 15 

Fees: Bath tickets, $40,284.50; golf, $14,708.75; museum admi-ions,'$2,9S0.^ j 

tennis, $476.05; transfer and office, S4S2.45; weigh scales $84 11 59.02254 

Concessions: Bungalow camp, $3,209.71; bus. $4,598.98; cup vending 

machines, $4.66 ~ s73 3" 

Sales: Accommodation signs, $71; buffalo products, $26^901 J82; 'publications' 

$168.03 ; timber, $7,579.30 3 1 ;; ., - 

Miscellaneous °-'ocn -n 

5,289 /9 

165 



166 AUDITOR GENERAL'S REPORT 

B Northwest Territories — 

Mining Lands: Coal leases, $282.13; coal royalty, $6.25; domestic coal 

permits, $15; dredging leases, $60; miners licences, $5,015.83; petroleum 

and natural gas leases, $551.01; placer mining fees, $5; quartz mining fees, 

$6,684.20; quartz mining leases, $59.97; gold quartz royalties, $18,868.91.. 31,548 30 

Sundry Lands: Gravel permits, $93; grazing, $28.82; hay permits, $20.05; land 

rental, $2,412.83; land sales, $152.33; timber dues, $14,478.31 17,185 34 

Fur export tax 103,736 39 

Game Licences: Fur farm, $26; game. $2,739.30; trading post, $15 2,780 30 

General Licences: Business, $6,308.50; liquor, $79; marriage, $63; motor 

vehicle, $383.50; professional, $55 6,889 00 

Miscellaneous: Buffalo products, $310; fur sales, $700.60; house rental, $120; 
office fees, $231.43; reindeer products, $1,924.90; steam boiler inspection 
fees, $200; sundry, $3.95 3,490 88 

165,630 21 
C Yukon Territory — 

Mining Lands: Coal leases, $62.34; placer mining fees, $32,989; placer gold 
royalty, $32,791.28; quartz mining fees, $2,995.54; quartz mining leases, 

$50 ; quartz mining royalty, $3,225.11 72,113 27 

Sundry Lands: Dredging leases, $144.30; hydraulic leases, $2,395; land rentals, 
$5,843.07; timber dues, $5,742.58; sundry, $4.50 14,129 45 

86$/# 72 
D Forest Service — 

Publications, $669.95; timber dues, $16,384.40; timber sales, $1,712.07; wood 

specimens and tests, $903.43; wood sales, $525.48; sundry, $12.48 20,207 81 

E Public Lands — 

Grazing permits, $213.90; land rentals, $4,590.04; land sales, $3,115.50; office 
fees, $534.45; quarrying lease, $48.20; timber dues, $3,700.86 12,202 95 

F Surveys and Water Power — 

Dominion Land Survey Act fees, $35; maps and publications, $33,985.27; 
rentals, $2,012.50 36,032 77 

G Ordnance Lands — 

Clearance rights, $223.10; gravel royalty, $468.75; hay permits, $50; land 
rentals, $10,832.07; land sales, $22,662.74; office fees, $35; quarrying leases, 
$30; sale of buildings, $400 34,701 66 

H Chinese Immigration Revenue — 

Registration of leave certificates at $2, $530; substitutional certificates at 
$25, $125 655 00 

I Casual Revenue — 

Provincial contributions towards cost of water power investigation 30,822 00 

Refunds in respect to transfer of water power development to the Province 

of Manitoba 89,531 20 

Proceeds from sales 28,064 97 

Refunds of previous year's expenditures 20,615 15 

" Miscellaneous: assays, analyses, testings, $3,383.78; land registration fees, 
$424.50; permits and licences issued under the Explosives Act, $2,034; 
rentals, $5,747.68; unclaimed estates, Yukon, $335.34; sundry collections, 

$2,007.15 13,932 45 

182,965 77 
J Fines and Forfeitures — 

Fines and forfeitures imposed for infraction of, and in accordance with, the 
following Acts — Canadian National Parks, $1,376.35; Explosives, $85; 
Immigration, $12,195.07; Chinese Immigration, $9,000; Migratory Birds, 
$389; Northwest Territories, $1,037.40; Sundry, lie 24,082 93 



DEPARTMENT OF MINES AND RESOURCES 167 

K Special Revenue 

Refunds of previous year's expenditure: Unemployment Relief, SI. 60; War 
appropriation, $38,119.11 38,120 71 



$1,065,056 53 



In accordance with the provisions of 
Certified correct. Section 45 (1) of the Consolidated Revenue 

and Audit Act, I have satisfied myself that 
B. G. McINTYRE, the above revenues for 1941-42 have been 

Comptroller of the Treasury. fully accounted for. 

WATSON SELLAR, 

Auditor General. 

Comments on Revenues 

The Revenues reported above have been collected by the various Branches of the 
Depart in. ml as follows: Mines and Geology, 89,191.62; Lands, Parks, and Forests, $793,064.99; 
Surveys and Engineering, $177,237.25; Indian Affairs, $16,567.45; Immigration, $68,995.22. 

A Canadian National Parks. The various fees for licences and permits, the park rates, etc., 
in the National Parks, are established by the Governor in Council under authority of the 
National Parks Act, except in certain instances where the Governor in Council gives the 
Minister authority to establish terms and conditions. Taxidermists' licences are issued 
in accordance with regulations established by the Governor in Council under Section 4 of 
the Migratory Birds Convention Act. With respect to Park Rates, the Department reports 
that there were at March 31, 1942, the following unpaid accounts: Electric light, $848.82; 
garbage rates and sewer rates, $3,536.76; rentals, $5,927.38; telephone, $36.73; water rates, 
$2,472.20; sundry, $75. 

B Northwest Territories. In the Northwest Territories, revenue from Mining Lands and 
Sundry Lands is collected in accordance with regulations established by the Governor in 
Council under Sections 31 to 35, 49 and 57, of the Dominion Lands Act. The fur export 
tax, as well as general licence revenue, is collected under authority of Ordinances established 
by the Commissioner in Council under authority of Section 10 of the Northwest Territories 
Act. Game licence revenue is collected under Section 4 of the Northwest. Game Act. The 
gold quartz royalties of $18,868.91 collected from two gold mines, the Negus Mines Ltd., 
$9,140.89 and the Consolidated Mining and Smelting Co. Ltd., $9,728.02, represent a 
royalty of 3 per cent on annual profits after the exemptions allowed under Section 91 of 
the Quartz Mining Claim Regulations were deducted. 

In addition to the revenues reported above, revenue from the sale of liquor in the 
Territories is deposited in the Consolidated Revenue Fund and credited to the Northwest 
Liquor Special Account and is disbursed for territorial purposes, in accordance with the 
Territorial Liquor Ordinance of April 27, 1939. At present the Province of Saskatchewan 
is the Territorial Liquor Agent operating a store at Yellowknife. After the deduction of 
certain agreed costs, net receipts are forwarded to the Receiver General. At March 31, 1942, 
net liquor receipts for the fiscal year totalled $49,302.38 and fines, $345, which together with 
the balance on hand March 31, 1941, made a total of $87,158.20. Disbursements included 
purchase of fire fighting equipment, $9,406.78; road construction, $971.35; salary of mining 
inspector, S997.84; grant to auditors, S600; leaving a balance in the Account of $75,182.23. 

C Yukon. Mining Land revenue in the Yukon Territory is collected under authority of 
Sections 83, 84 and 89 of the Yukon Placer Mining Act and Sections 93 and 95 of the 
Yukon Quartz Mining Act. Sundry Land revenue is collected under regulations established 
by the Governor in Council in accordance with Section 4 of the Dominion Lands Act and 
Section 12 of the Water Power Act. All other revenues in the Yukon Territory, including 
liquor, fur export tax and local tax revenues are retained in the Territory and disbursed 
by the Yukon Council. The Dominion Lands revenue reported above as credited to the 
Consolidated Revenue Fund of Canada is offset by a yearly Dominion grant to the Yukon 
which this year amounts to $67,500. 

D Forest Service. These revenues are derived from the sale of services and timber in the 
Forestry Stations and Forest Products Laboratories of the Department. The timber dues 
are assessed in accordance with regulations established by the Governor in Council, or at 
Petawawa and Valcartier with National Defence regulations. 



168 AUDITOR GENERAL'S REPORT 

E Public Lands. This revenue represents collections from land and timber that remained 
the property of the Crown as represented by the Dominion after the transfer of the 
National Resources to the Western Provinces. The revenue is collected in accordance 
with regulations established by the Governor in Council under various sections of the 
Dominion Lands Act. 

In addition to the revenues reported above under Public Lands, $16,374.88 was- collected 
on account of seed grain loans issued up to the year 1926 under authority of the several 
Seed Grain and Relief Acts. Of the total collected, $10,126.38 representing Principal was 
credited to the Special Account, and $6,248.50 Interest was credited to Interest on 
Investment Account. Under authority of Chapter 51, 1926-27, an Act respecting the 
adjustment of indebtedness for these advances, the Farmers' Creditors Arrangement Act, 
1934, and the Saskatchewan Natural Resources Transfer Act, $146,517.00 was written off 
during the year, $58,407.84 from Principal, and $88,109.16 from Interest. Interest added 
to the Accounts amounted to $165,634.11. Loans outstanding at March 31, 1942, totalled 
$6,237,639.92 including interest of $3,479,139.53. 

F Surveys and Water Power. Dominion Lands Surveys examination fees are collected in 
accordance with Section 28 of the Act. The price scale for sales of maps and plans aro 
set by the Governor in Council under authority of the Dominion Lands Surveys Act, 
Section 6 and in some cases of map sales, by Ministerial ruling. 

G Ordnance Land. Revenue is derived from the sale or rental of Ordnance and Admiralty 
Lands by the Governor in Council in accordance with the Ordnance and Admiralty Lands 
Act. In addition to the revenue received, the departmental ledgers at March 31, 1942, 
indicated that amounts outstanding, matured and unmatured, total $39,970.02. 

H Chinese Immigration. Revenue is collected under Sections 3, 23, 25 and 27 of the 
Chinese Immigration Act. 

I Refunds in respect to transfer of water power developments to the Province of Manitoba. 
The refunds are classified as follows: Capital charges due January 1, 1942, Lac Seul, 
$22,766.93; Lake of the Woods, $43,420.63; operating charges for calendar year 1941, 
Lac Seul, $17,304.74; Lake of the Woods, $6,038.90. These refunds are collected from, 
the Province under authority of the Manitoba Natural Resources Act, Chapter 29 of the 
Statutes of 1930 and represent the capital outlay by the Dominion on lake levels and 
runoff, and the operating expenses paid yearly from the departmental votes of the 
Department. 

I Proceeds from sales. This revenue is derived from the sale of sundry equipment, supplies 
and publications. The sales of equipment and supplies are made through the Salvage 
Board in accordance with regulations approved by the Governor in Council. Fees for 
publications and hydrographic charts are set by departmental authority. Distribution 
is also made by the Department and not by the King's Printer. 

I Miscellaneous. Assays and analyses revenue represents fees charged in accordance with 
a departmental tariff. Revenue derived from the issue of permits for the importation of 
explosives, magazine and factory licences is collected in accordance with regulations 
established by the Governor in Council under authority of Section 5 of the Explosives 
Act. 

APPROPRIATIONS AND EXPENDITURES 

A total of $11,974,136.86 was available for expenditure on account of the Department 
of Mines and Resources after the transfer of Coal Subsidies and Subventions amounting to 
$4,782,415.00 to Wartime Prices and Trade Board, Department of Finance. Of the available 
amount, $11,631,095 was provided in the annual appropriation accounts, $338,456.93 was 
authorized by continuing statutory provisions and $4,584.93 was transferred from the 
Department of Finance. Expenditures were $11,204,709.53 for the fiscal year 1941-42, a 
decrease of $5,026,081.18 from those of $16,230,790.71 in 1940-41. 

In addition a total of $1,084,064.67 was allotted to the Department from the War 
Appropriation. Expenditures thereunder amounting to $759,065.52 are shown in the War 
Expenditures section of the report. 



DEPARTMENT OF MINES AND RESOURCES 

N<>. of 
Vote Services Appropriations Expenditures 

Statutory Salary of Minister, Minos and 

Resources Act, «■.;;:;. L936 10,000 00 10,000 00 

Statutory Motor car allowance to Minister, 

Appropriation Act No. 5, c. 61, 

1931 2,000 00 2,000 00 

123 Departmental Administration ... 155,450 00 154,119 70 

MINES AND GEOLOGY BRANCH 

124 Branch Administration 29,015 00 27,949 51 

Bureau of Mines — 

125 Bureau of Mines Administration 26,105 00 23,217 06 

126 Mineral Resources Investigations 394,350 00 383,35195 

127 Explosives Act 24,970 00 22,552 06 

Bureau of Geology and Topography — 

128 Bureau of Geology and Topo- 

graphy Administration and 

Miscellaneous Services 113,435 00 99,529 11 

*427 \ Geological Surveys 263,935 00 259,162 72 

130 Topographical Surveys, includ- 

ing expenses of the Geographic 

Board of Canada 183,930 00 173,580 29 

131 Drafting and Map Reproduction 122,865 00 120,441 82 

132 National Museum of Canada.... 56,680 00 45.663 10 

LANDS, PARKS AND FORESTS BRANCH 

133 Branch Administration 21,250 00 19,843 62 

Government of the Northwest 

Territories — 

134 General Administration, opera- 

tion and maintenance of 
services, including Wood Buf- 
falo Park 266,655 00 245,880 23 

135 ) 

♦488 \ Eastern Arctic Expedition .... 60,540 00 58,652 74 

487 Payment of Legal expenses in 

connection with the Indian 

Eskimo reference 10.000 00 9,903 43 

Government of the Yukon 
Territory — 

*489 f Administration 46,250 00 40,223 83 

137 Grant to Yukon Council .... 47,500 00 47,500 00 
490 Compassionate Grant to Denis 

Ryan 2.500 00 2,500 00 

Dominion Forest Service — 

138 General scientific, economic 

and administrative services. 115,740 00 113,048 49 

139 Forest Experiment Stations . . 47,140 00 41,489 50 

140 Forest Products Laboratories. 144.097 00 133,725 28 

141 Grant to Canadian Forestry 

Association 1,620 00 1,620 00 

142 Land Registry, Seed Grain Col- 

lections, Administration of Ord- 
nance, Admiralty and Public 

Lands 53,725 00 51,390 46 

National Parks Bureau — 
\\2\ National Parks and Historic 
*420j Sites Services 1,147,658 19 1,147,64159 

* Supplementary vote. 



169 



i 



1.330 21 



1,065 10 

2^87 01 
10,998 05 

2,417 94 



13,905 89 
4,772 28 



10.349 71 

2,423 18 

11,016 90 



1,406 38 



20,774 77 
1,887 26 

96 57 

6.026 17 



2,691 51 
5,650 50 
10371 72 






n; 60 



170 AUDITOR GENERAL'S REPORT 

No. of 

Vote Services Appropriation Expenditures Lapsed 

144 Administration of Migratory 

Birds Convention Act 48,920 00 46,246 15 2,673 85 

145 Grant to John Thomas (Jack) 

Miner 2,500 00 2,500 00 

Statutory The Refunds (Natural Resources) 

Act, 22-23 George V Chap. 35. . 105 15 105 15 

GENERAL 

68 Unforeseen expenses, expenditure 
thereof to be subject to the 
approval of the Treasury Board, 
and a detailed statement to be 
laid before Parliament within 
fifteen days of next Session.. 1,116 18 1,116 18 

SURVEYS AND ENGINEERING BRANCH 

146 Branch Administration 21,950 00 21,094 11 855 89 

147 Dominion Observatory, Ottawa.. 95,845 00 94,666 49 1,178 51 

148 Dominion Astrophysical Observa- 

tory, Victoria, B.C 30,880 00 28 504 25 2,375 75 

149 Dominion Water and Power 

Bureau, including the adminis- 
tration of the Dominion Water 
Power and Irrigation Acts .... 203,150 00 198,841 96 4,308 04 

^20 1 Lake of th e Woods Control Board 7,875 56 7,566 63 308 93 

151 For the expenses incurred under 

the agreement between the 
Dominion, Ontario and Mani- 
toba confirmed by the Lac Seul 
Conservation Act, 1928, moneys 
expended to be largely reim- 
bursed 18,000 00 17,002 59 997 41 

491 For acquiring flowage easements 

and discharging claims of own- 
ers of riparian lands in Ontario 
below the outlets of Lake of the 
Woods affected by regulations 
under the Lake of the Woods 
Control Board Act (Revote) . . 2,000 00 113 20 1,886 80 

492 For general expenses of the Com- 

mittee established under P.C. 
682 dated February 17, 1941, to 
report on the conservation of 
the waters of the St. Mary and 
Milk Rivers 500 00 120 74 379 26 

152 Engineering and Construction 

Service 87,530 00 80,032 96 7,497 04 

153 Geodetic Service 135,840 00 129,909 21 5,930 79 

154 To recoup the Temiskaming and 

Northern Ontario Railway Com- 
mission in connection with their 
claim for injury to John Hedin 240 00 240 00 

155 International Boundary Com- 

mission 33,400 00 30,918 91 2,481 09 

Hydrographic and Map Service — 

156 Hydrographic Service 350,824 00 346,721 70 4,102 30 

157 Legal Surveys and Map Service, 

including grant of $350 to 
assist in printing the publica- 
tion of the Canadian Institute 
of Surveying 176,430 00 170,096 34 6,333 66 



DEPARTMENT OF MINES AND RESOURCES 



171 



No. of 
Vote Services Appropriation Expenditures 

493 Dominion contributions towards 

cost of extending the survey 
of the boundary between 
Manitoba and Saskatchewan 
(Provinces concerned to bear 
two-thirds of total costs) .... 1,000 00 1,000 00 

158 For the payment of fees of the 

Board of Examiners for 
Dominion Land Surveyors, of 
the Secretary and of the Sub- 
Examiners and for travelling 
' expenses, stationery, printing, 
rent, etc., (the fees of F. H. 
Peters, W. M. Tobey and 
Harry Parry, members of the 
Board, and A. W. W. Cole, 
Secretary, are to be paid out 
of this sum) 850 00 814 73 

INDIAN AFFAIRS BRANCH 

159 Branch Administration 54,800 00 

160 Indian Agencies 654,893 00 

Reserves and Trusts — 

161 Administration 40,365 00 

Statutory Indian Annuities, Indian Act, 

c. 98 R.S 262,127 00 

Medical — 

162 Indian Hospitals and General 

(are of Indians 1,442,217 00 

1 eo ) 

*494 \ c;i;lllts t0 Hospitals 7,900 00 

Welfare and Training — 

164 Welfare of Indians 967,374 00 

165 Indian Education 500,616 00 

166 Grants to Residential Schools. 1,398,944 00 

167 Grants to Agricultural Exhibi- 

tions and Indian Fairs, as 

detailed in the Estimates.... 6,870 00 

168 Grant to provide for additional 

services to Indians of British 

Columbia 100,000 00 

IMMIGRATION BRANCH 

169 Administration of the Immigration 

Act and the Chinese Immigra- 
tion Act 164,030 00 

170 Field and Inspectional Service, 

Canada 1,127,515 00 

171 Field and Inspectional Service, 

Abroad 103,630 00 

172 Relief of Distressed Canadians, 

Outside Canada 10,000 00 

PENSIONS AND OTHER BENEFITS 

Statutory Mrs. Doris Ryckman and child- 
ren, Appropriation Act, No. 6, 
c. 50, 1936 690 00 690 00 

175 Mrs. Alice Morson Smith 600 00 600 00 

176 Mrs. Elizabeth Swinford 600 00 600 00 

* Supplementary vote. 



Lapsed 



35 27 



52,839 00 
630,435 46 


1,961 00 
24,457 54 


32,697 49 


7,667 51 


262,127 00 




1,334,588 52 


107,628 48 


7,900 00 




707,356 83 

475 338 90 

1,393,392 14 


260,017 17 

25,277 10 

5,551 86 


5,663 70 


1,206 30 


99,116 83 


883 17 



156,787 09 


7,242 91 


,044,329 07 


83,185 93 


84,476 09 


19,153 91 


3,668 97 


6,331 03 



172 AUDITOR GENERAL'S REPORT 

Vote Services Appropriation Expenditures Lapsed 

SUPERANNUATION AND RETIREMENT 
BENEFITS 

Statutory Gratuities to families of deceased 
employees, Civil Service Act, c. 
22 R.S 5,030 00 5,030 00 



Total Write Down of Assets. . 58,504 78 58,504 78 



Total Ordinary Expenditures.... 11,414,567 08 10,710,234 94 704,332 14 

SPECIAL 
LANDS, PARKS AND FORESTS BRANCH 

National Parks Bureau — 
1771 
*495 \ National Parks 

178 Forest Conservation 

SURVEYS AND ENGINEERING BRANCH 

179 Development of Tourist Highways 

180 Roads — Improvement to main tour- 

ist routes from the International 
Boundary to Banff, Yoho, Koot- 
enay and Jasper Parks (Revote) 

INDIAN AFFAIRS BRANCH 

181 Fur Conservation, and to author- 

ize subject to the approval of the 
Governor in Council, the ap- 
pointment of such extra tem- 
porary officers, clerks and 

employees as may be necessary nnnA4 . n 
for the purpose of this item.. 100,000 00 71,055 42 28,944 58 
496 For repairs and improvements to 
Government Buildings relating 
to Indian Medical Field Ad- 
ministration (Revote) 7,565 00 6,962 95 602 05 



329,500 00 
40,000 00 


300,249 84 
39,277 82 


29,250 16 
722 18 


13,000 00 


7,652 47 


5,347 53 


11,000 00 


10,771 31 


228 69 



Total Special Expenditures 501,065 00 435,969 81 65,095 19 

W r RITE DOWN OF ASSETS 

Statutory Reduction of Assisted Passage 
Loans— Empire Settlement Ad- 
vances, Farmers' Creditors Ar- 
rangement Act, c. 53, 1934 .... 96 94 96 94 

Statutory Seed Grain and Relief Accounts— 
An Act respecting certain debts 

due the Crown, c. 51, 1926-27.. 58,406 84 58,406 84- 

An act respecting the transfer 
of the Natural Resources of 
Saskatchewan, c. 41, 1930 .... 1 00 1 00 



Grand Total $11,974,136 86 $11,204,709 53 $ 769,427 33 

These accounts have been examined and 

audited under my direction, in accordance 

Certified correct. with the provisions of the Consolidated 

Revenue and Audit Act, and subject to the 
B. G. McINTYRE, observations in this report, I certify that 

Comptroller of the Treasury. in my opinion they are correct. 

WATSON SELLAR. 

Auditor General. 



DEPARTMENT OF MINES AND RESOURCES 173 

Salary of Minister, Minos and Resources Act, c. 33, 1936 5 10,000 00 



Communis on Expenditure! 

The Minister of the Department of Mines and Resources was Hon. T. A. Crerar. 
Motor Car Allowance to Minister, Appropriation Act No. 5, c. 61, 1931. .$ 2,000 00 



mote 123 Departmental Administration 155,450 00 

Expenditures 154,119 76 

Lapsed $ 1,330 24 



Estimates Allotments 

details authorized Expenditures 

A Salaries 142,925 00 142,325 00 . 142,264 75 

H Printing and Stationery 5,000 00 3,200 00 3,030 09 

E Supplies and Materials 1,000 00 1,000 00 958 22 

D Travelling Expenses 3,500 00 3,500 00 2,992 23 

E Telephones, Telegrams, Postage, etc 2,500 00 1,500 00 1,255 01 

I Sundries 500 00 3,900 00 3,618 26 

(; Deferred Retiring Leave 25 00 25 00 

$ 155,450 00 $ 155,450 00 S 154,119 76 



Comments on Expenditures 

A As of March 31, 1942, there were 58 employees paid from this vote. The following were 
iving annual salaries of $2,400 or over on that date, or at date of separation (shown in 
brackets): C. Camsell, Deputy Minister, $10,000; W. M. Bailey, $4,320 (Aug. 26); A. J. 
Baxter, $3,000; W. C. Bethune, $3,000, secretarial allowance. $300; F. W. Carson, $2,400 
H. Chandler, $3,420; J. M. Clarke, S3.600; H. H. Cooper, $2,400; T. L. Cory $1,320 
W. M. Cory, $4,320; K. R. Daly, $4,500; H. J. Davidson, $3,720; C. W. Jackson, 85,400 
J. T. Larochelle $2,520; V. A. Minnes, $4,020; G. H. Murray, $3,000; A. B. Phelan, $2,400 
W. J. F. Pratt, $4,320, secretarial allowance, S300; W. M. Vincent, $2,880; H. C. Warner, 
$2,8S0. 

D Travelling expenses included in this allotment are: Hon. T. A. Crerar, $1,550; Dr. C. 
Camsell, $1,191.44. 

F Included in this allotment are payments of $3,155.47 to Mrs. John Bell and $45 to 
Mr. John Bell, Ottawa, Ontario, in compensation for injuries received when struck by a 
departmental truck. The payments were authorized by Treasury Board. 

MINKS AM) GEOLOGY BRANCH 

Vote 124 Branch Administration 29,015 00 

Expenditures 27,949 51 



Lapsed $ 1,065 49 



A Salaries 

B Printing and Stationery 

C Telegrams, Telephones, Postage, etc. 

D Travelling Expenses 

E Sundries 





Allotments 




details 


authoriz< d 
25,935 00 


Expenditures 


90 00 


25,692 SO 


250 00 


600 00 


181 23 


1.500 00 


1,050 00 


739 25 


400 00 


200 00 


98 30 


975 00 


1.230 00 


937 93 



$ 29,015 00 $ 29,015 00 S 27.949 51 



174 AUDITOR GENERAL'S REPORT 

Comments on Expenditures 

A As of March 31, 1942, there were 10 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date, or at date of separation (shown in 
brackets): J. McLeish, Director, $7,500 (Apr. 1-Oct. 31), W. B. Timm, Director, $6,600 
(Nov. 1-Mar. 31); L. L. Bolton, $5,220; E. M. Edwards, $2,400; J. R. Kirkconnell, $3,300. 

B Increase due to stationery purchases. 

E Further amount was needed to cover share of the cost of the annual report. 

Vote 125 Bureau of Mines: Administration 26,105 00 

Expenditures 23,217 06 

Lapsed $ 2,887 94 



A Salaries 

B Printing and Stationery 

C Travel (Field Studies) 

D Sundries 



Estimates 


Allotments 




details 


authorized 


Expenditures 


23,425 00 


23,440 00 


21,938 70 


900 00 


900 00 


520 76 


500 00 


500 00 


70 00 


1,280 00 


1,265 00 


687 60 



$ 26,105 00 $ 26,105 00 $ 23,217 06 



Comments on Expenditures 

A As of March 31, 1942, there were 10 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date, or at date of separation (shown in 
brackets) : M. M. Farnham, $3,000; T. G. Madgwick, $4,020; W. B. Timm, $5,400 (Nov. 1). 
(See also Vote 124). 



Vote 126 Bureau of Mines: Mineral Resources Investigations 394,350 00 

Expenditures 383,351 95 

Lapsed $ 10,998 05 



Estimates Allotments 

details authorized Expenditures 



A Salaries 351.948 06 

B Supplies and Materials 19,800 00 

C Travel (Field Investigations) 8.000 00 

D Printing, Binding, Lithographing, etc 2,500 00 

E Equipment 10,000 00 

F Sundries 2,101 94 



339,698 06 


334,666 57 


25,800 00 


23,119 65 


6,000 00 


5,526 71 


4,500 00 


3,911 93 


15,500 00 


13,492 17 


2,851 94 


2,634 92 



$ 394,350 00 $ 394,350 00 $ 383,351 95 



Comments on Expenditures 

The purpose of this vote is to provide for investigations, ■ in laboratory, office and field, 
pertaining to mineral resources, the mining and metallurgical industries, mineral technology 
and economics of production and marketing; and the dissemination of information with 
respect thereto. 

A As of March 31, 1942, there were 57 employees paid from this vote of which 51 were 
paid on a prevailing rate basis. The following were receiving annual salaries of $2,400 or 
over on that date, or at date of separation (shown in brackets) : A. K. Anderson, $4,020; 
C. E. Baltzer, $3,300; H. L. Beer, $2,940; K. W. T. Bowles, $2,580; N. B. Brown, $3,060; 
G. J. A. Buisson, $3,300; E. J. Burrough, $3,300; J. M. Casey, $3,240; H. M. Chantler, 



DEPARTMENT OF MINES AND RESOURCES 175 

$3,300; L. H. Cole, $4,020; R. W. Cornish, $2,700; B. P. Coyne, $3,300; V. L. Eardley- 
Wilmot, $3,300; S. C. Ells, $4,020; G. S. Farnham, $3,840; J. A. Fournior, $3,660; 
H. Frechette, $4,980; C. H. Freeman, $2,700; R. E. Gilmore, $4,620; M. F. Goudge, $4,020; 

B. F. Haanel. $4,980; M. H. Haycock, $3,300; W. S. Jenkins, $2,700; J. D. Johnstone, 
$3,180; J. F. Kostash, $2,460; H. A. Leverin. $3,300; E. 8. Malloch, $4,020; E. S. MartindaK 
$4,020; J. S. McCree, $2,700; T. T. Mcrrificld, $3,060 (leave without pay from Jan. 1.); 

C. B. Mohr, $3,180; G. C. Monture, $4,440; J. H. H. Nicolls, $3,300; W. H. Norrish, 
$3,720; R. J. Offord, $2,700; C. S. Parsons, $4,980; L. H. S. Pereira, S2.700; J. G. Phillips, 
$3,180; R. H. Picher, S3.300; R. A. Rogers, $3,300; A. Sadler, $3,300; H. S. Spencc, $4,620; 

D. M. Stewart, $2,520; E. Swartzman, $2,820; A. A. Swinnerton, $3,300; L. O. Thomas, 
$4,020; R. J. Traill, $4,620; W. T. Turrall, $2,820; E. H. Wait, $2,700 (on loan to Depart- 
ment of Munitions and Supply from Aug. 1); T. E. Warren, $4,020; A. W. G. Wilson, 
$4,980 (Aug. 6) ; R. J. Young, $2,700. 

B The increase was due to the volume of war work carried on in the Bureau of Mines. 

C Travelling expenses of $300 or over include: J. M. Casey, $325.53; V. L. Eardley-Wilmot, 
$852.89; S. C. Ells, $303.61; M. F. Goudge, $508.87; H. A. Leverin, $741.77; C. S. Parsons, 
S516.01; H. S. Spence, $373.18; E. Swartzman, $644.96; sundry travel, $1,259.89. 

D Increase to take care of the cost of printing various editions of reports. 

E The purchase of two motor cars at a cost of $2,204.98 and extra duties caused the 
increase. 



Vote 127 Bureau of Mines: Explosives Act 24,970 00 

Expenditures 22,552 06 

Lapsed $ 2,417 94 



A Salaries '. 

B Travelling Expenses 

C Equipment and Supplies 

D Professional and other Special Services.. 

E Sundries 



Estimates 


Allotments 




details 


authorized 


Expenditures 


17,100 00 


17,505 00 


17,503 04 


4,000 00 


3,655 00 


2,279 39 


1,850 00 


1,850 00 


1,412 80 


600 00 


600 00 


50 00 


1,420 00 


1,360 00 


1,306 83 



$ 24,970 00 $ 24,970 00 $ 22,552 06 



Comments on Expenditures 

The purpose of this vote is to provide for the administration of the Explosives Act, an 
Act to regulate the manufacture, testing, storage and importation of explosives. 

A As of March 31, 1942, there were 7 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date: W. P. Campbell, $3,420; M. C. 
Fletcher, $3,420; F. E. Leach, $4,860. 

B Travelling expenses over $300 include: W. P. Campbell, $1,365.24; F. E. Leach, S702.52; 
sundry, $211.63. 

E Removal expenses of $728.34 for W. P. Campbell from Vancouver to Ottawa are included 
in this allotment. 



Vote 128 Bureau of Geology and Topography: Administration and 

Miscellaneous Services 113,435 00 

Expenditures 99,529 11 

Lapsed $ 13,905 89 



176 AUDITOR GENERAL'S REPORT 



A Salaries 

B Supplies and Materials 

C Equipment 

D Purchase of Air Photographs for Aerial 
Photographic Library and related 
Expenses 

E Sundries 



Estimates 
details 


Allotments 
authorized 


Expenditures 


95,957 80 
9,000 00 
5,000 00 


95,957 80 

10,000 00 

4,000 00 


85,701 97 
9,093 14 
2,412 02 


300 00 
3,177 20 


300 00 
3,177 20 


38 90 
2,283 08 



$ 113,435 00 $ 113,435 00 $ 99,529 11 



Comments on Expenditures 

A As of March 31, 1942, there were 44 employees paid from this vote, of which 2 were 
paid on a prevailing rate basis. The following were receiving annual salaries of $2,400 
or over on that date, or at date of separation (shown in brackets) : G. D. Barrowman, 
-S2.700; G. G. Clarke, $3,180 (May 26); W. P. Daly, $3,420; H. J. Dunlap, $3,420; 
J. Hardouin, $3,285; F. C. C. Lynch, $5,400; P. J. McClymont, $3,000; P. J. Moran, $3,000; 
P. E. Palmer, $3,420 (Oct. 1. See also Vote 130); E. C. Rochon, $3,000; S. M. Steeves, 
$3,240; L. O. Thomas, $4,020 (June 1. See also Vote 126) ; A. V. Waite, $2,820. 

E Travelling expenses amounting to $716.16 of officials attending various association 
meetings were paid from this allotment. 

Vote 129 Bureau of Geology and Topography: Geological Surveys. . . . 256,935 00 

Vote 427 Further amount required 7,000 00 

263,935 00 
Expenditures 259,162 72 

Lapsed $ 4,772 28 



Estimates 
details 

A Salaries 166.991 00 

R Field Surveys and Travel 80,000 00 

C Printing, Binding, Lithographing, e\c 8,500 00 

D Equipment, Supplies and Sundries 8,444 00 



Allotments 
authorized 


Expenditures 


164,281 00 

82.150 00 

8,940 06 

8,563 94 


164,263 04 

77,496 59 

8,940 06 

8,463 03 



$ 263,935 00 $ 263,935 00 $ 259,162 72 



Comments on Expenditures 

The purpose of this vote is to make provision for the study of rocks, minerals and ore 
deposits of Canada, in field and in office, that may lead to the discovery of ore and kindred 
deposits and more successful exploitation of such deposits already known, and to publish the 
results of such investigations. 

A As of March 31, 1942, there were 54 employees, of which 2 were prevailing rates, paid 
' from this vote. The following were receiving annual salaries of $2,400 or over on that date 

F. J. Alcock, $4,620; J. W. Ambrose, $3,720; W. A. Bell, $4,620; H. S. Bostock, $3,900 
C. E. Cairnes, $4,620; J. F. Caley, $2,700; W. E. Cockfield, $4,260; H. C. Cooke, $4,620 
H, V. Ellsworth, $4,440; R. J. C. Fabry, $3,300; G. Hanson, $4,620; J. F. Henderson, $2,580 

G. S. Hume, $4,620; A. W. Jolliffe, $3,420; E. D. Kindle, $2,580; A. H. Lang, $3,060 
C. S. Lord, $2,460; B. R. MacKay, $4,620; D. C. Maddox, $3,600; J. R. Marshall, $3,600 
F. H. McLearn, $4,620; G. W. H. Norman, $4,440; E. Poitevm, $4,620; H. M. A. Rice 
$3,240; C. M. Sternberg, $2,760; J. S. Stewart, $3,720; C. H. Stockwell, $4,080; T. L. Tanton 
$4,620; L. J. Weeks, $3,600; R. T. D. Wickenden, $3,600; A. E. Wilson, $2,880; M. E. Wilson 
$4,620; G. A. Young, $4,980. 



DEPARTMENT OF MINES AND RESOURCES 177 

Under authority of the War Measures Ah, local allowance- of 1300 per annum were paid 
from March 1, 1042, to the following employees: J. E. Armstrong; J. D. Bateman; H. II 
Beach; A. F. Buckman; (i. M. Purnival; C. O. Hagc; J. F. Henderson; E. I). Kindle; 
C. s. Lord; G. Shaw. 

Gratuity of $86.11 was paid from this vote to the estate of a prevailing rale employee 
(late E. S. Carlyle). 

B This allotment includes: salaries of 64 studenl assistants, 121,043.93; wages of 72 lab< 
$14,042.69; air services, $6,340.07; travelling expenses, $14,301X17; equipment and supplies, 

si 1,1 93 .7(5; maintenance and care of horses, $689.64. 

D Expenses of $158.96 of the Vancouver office were paid from this allotment. 



Vote 130 Bureau of Geology and Topography: Topographical Surveys, 

including expenses of the Geographic Board of Canada .... 183,930 00 

Expenditures 173,580 29 



Lapsed $ 10,349 71 



Estimates Allotment- 
details authorized Expenditures 

A Salaries 135,795 00 128,295 00 120.277 83 

B Field Surveys and Travel 44,500 00 45,000 00 44.236 22 

C Equipment, Supplies and Sundries 3.635 00 10,835 00 9,066 24 



S 183,930 00 S 183,930 00 S 173.580 29 



Comments on Expenditures 

A As of March 31, 1942, there were 47 emplo3 r ees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date, or at date of separation (shown in 
brackets): R. Bartlett, $3,240; E. F. Browne, $3,240; J. V. Butterworth, $3,240; M. G. 
Cameron, S3.240 (Jan. 2. See also Vote 157); J. Carroll, $2,700; K. G. Chipman, $4,440; 
J. H. Cony, $2,400; W. A. Fletcher, $3,420; E. S. Fry, $2,700; A. O. Gammon, $2,700. 
S. Hunt, $2,700; J. A. MacDonald, $3,240; W. L. Mcllquham, 83,240; G. A. MacLeod, 
$2,400; R. C. McDonald, $3,240; R. B. McKay, $3,780; S. C. McLean, $3,420; W. H. Miller, 
$3,420; D. A. Nichols, $3,420; P. E. Palmer, $3,480; J. H. Petterson, $2,700; B. H. Segre, 
$3,285; H. N. Spence, $3,240; J. W. Spence, $3,240; C. H. Taggart, $3,420; A. C. Tuttle. 
S2.700; E. W. Walker, $2,400; E. J. Wight, $2,700. 

B The expenses of 12 topographical survey parties include, salaries of 8 student assistants. 
$2,267.27. wages of 45 labourers, $12,958.80; travelling expenses, $3,749.71; supplies and 
equipment, $6,495.59; sundries, $2,261.75. The Province of Nova Scotia provided S3,042.3S 
to assist in two of the above surveys. 

Also included are payments of $8,935.00 to the Canadian Airways Ltd., and S10,610.4S 
to Dominion Skyways Ltd., for aerial photographic surveys, topographical and geological 
reconnaissance, etc. 

C The original amount set up for this allotment was far below that actually required to 
take care of repairs to cars and equipment, storage of equipment, care of horses, etc.. and the 
replacement of worn and lost equipment. 



Vote 131 Bureau of Geology and Topography: Drafting and Map 

Reproduction . 122,865 00 

Expenditures 120,441 82 

Lapsed 8 2,423 18 



178 



AUDITOR GENERAL'S REPORT 



A Salaries 

B Supplies and Materials 

C Printing, Binding, Lithographing, etc. 



Estimates 
details 

62,865 00 

5,000 00 

55,000 00 


Allotments 
authorized 

63,297 00 

1,568 00 

58,000 00 


Expenditures 

63,117 09 

763 59 

56,561 14 


$ 122,865 00 


$ 122,865 00 


$ 120,441 82 



Comments on Expenditures 

A As of March 31, 1942, there were 28 employees paid from this vote. The following 
were receiving annual salaries of $2,400 or over on that date: S. G. Alexander, $3,420; 
A. Dickison, $4,020; A. Joanes, $3,420; W. Landles, $2,640; A. McGregor, $2,880; A. Sullivan, 
$2,880; R. Veitch, $2,760; E. J. Villeneuve, $2,700. 

C This amount was paid to King's Printer. 



Vote 132 National Museum of Canada 56,680 00 

Expenditures 45,663 10 

Lapsed $ 11,016 90 



Estimates 
details 

A Salaries ... 52,230 00 

B Printing, Binding, Lithographing, etc 1,500 00 

C Museum Equipment, Supplies, Purchase of 

Specimens, etc " 2.000 00 

D Sundries 950 00 



Allotments 
authorized Expenditures 



52,230 00 
1,500 00 

2,000 00 
950 00 



44,388 55 
318 78 

840 75 
115 02 



$ 56,680 00 $ 56,680 00 $ 45,663 10 



Comments on Expenditures 

A As of March 31, 1942, there were 19 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date, or at date of separation (shown in 
brackets): R. M. Anderson, $4,500; C. M. Barbeau, $4,320; D. Jenness, $4,500 (on loan to 
Department of National Defence from Sept. 1); C. E. Johnson, $2,760; W. Malcolm, 
$3,900 (May 8); C. L. Patch, $2,820; A. E. Porsild, $2,520; P. A. Taverner, $4,320; 
W. J. Wintemberg, $3,060 (Apr. 25). 



LANDS, PARKS AND FORESTS BRANCH 

Vote 133 Branch Administration 21,250 00 

Expenditures 19,843 62 

Lapsed $ 1,406 38 



A Salaries 

B Printing and Stationery 

C Travelling Expenses 

D Telephones, Telegrams, Postage, etc. 

E Sundries 



Estimates 


Allotments 




details 


authorized 


Expenditures 


17,910 00 


17,910 00 


17,353 34 


1,500 00 


1,500 00 


1,288 62 


915 00 


915 00 


653 50 


500 00 


500 00 


324 88 


425 00 


425 00 


223 28 



$ 21,250 00 $ 21,250 00 $ 19,843 62 



DEPARTMENT OF MINES AND RESOURCES 179 
Comments on Expenditures 

A As of March 31, 1012, there were f> employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on thai date: R, A. Gibson, Director, $7,500; 
E. M. Dennis, s 1.620. 

Vote 134 Government of the Northwest Territories — General Administra- 
tion, operation and maintenance of services, including 

Wood Buffalo Park 266,655 00 

Expenditures 245,880 23 

Lapsed $ 20,774 77 

Estimates Allotments 

details authorized Expenditures 

A Salaries and Wages 114,230 00 114,430 00 112,880 10 

B Living Allowances 4.200 00 4,500 00 4.500 00 

C Printing and Stationery 3,725 00 3.725 00 2.220 38 

D Supplies and Materials 35,055 00 35,055 00 29,823 63 

E Travelling Expenses 6,500 00 6,500 00 4,396 60 

F Freight, Express, Telegrams, Postage, etc... 7,000 00 7,000 00 6.730 29 

G Equipment, Maintenance and Repairs 6,550 00 6,550 00 4,327 53 

H Hospitalization; Professional and other 

Special Services; Grants to Schools; 

Assistance to Industrial Homes 70.260 00 65.060 00 57,219 25 

I Sundries 19,135 00 23,835 00 23,782 45 

S 266,655 00 $ 266,655 00 $ 245,880 23 



Comments on Expenditures 

The expense of operating the various services was as follows: Head Office, Administration, 
S52.147.52; District Office, Fort Smith, $29,961.74; Hospitalization, $28,859.50; Medical 
Services. $37,638.88; Reindeer Stations, $20,075.22; Relief to Destitutes, S47,529.79; Schools, 
$6,203.58; Wood Buffalo Park, $19,073.24; Administration of Civil Justice, $4,390.76. 

The Reindeer Station is located in the Northern MacKenzie District and consists of 
soiiH^ 6.600 square miles. The costs of operation were as follows: salaries and wages, 
$10,821.10; supplies and materials, $6,674.79; express, freight, etc., $2,306.14; equipment, 
maintenance. S215.23; sundry, $57.96. 

Wood Buffalo Park is an area of 17,300 square miles with a regular warden service. 
The costs of operation were as follow: salaries and wages, $11,100.07; supplies and 
materials, 86.415.93; travelling expenses, $216.75; express, freight, etc., $721.13; equipment 
maintenance, $496.77; sundry, $122.59. 

A B As of March 31, 1942, there were 37 employees paid from this vote. The following 
were receiving annual salaries of $2,400 or over on that date: J. A. Biddell, $2,520, living 
allowance, $1,080; T. F. Bracken. $2,400; N. W. Champagne, $1,920, living allowance. 
$1,500; T. Clifford, $2,400; A. L. dimming, $4,620; P. J. Daly, $3,000; J. F. Doyle, $3,000; 
E. Druce. $2,700; J. E. Gibben, $3000 (Aug. 14. See Vote 136); L. D. Livingstone, 
$3,480; J. W. K. Lock. $3,000; D. L. McKeand, $4,620; W. N. McKee, $2,520, living allow- 
ance, $1,080; M. Meikle, $3,420; J. Melling. $2,520 living allowance, $1,080; J. L. Morin, 
$2,100; G. W. Payton, $3,000; C. A. Perkins, $3,000; E. M. Phillips, $2,400; P. E. Trudel, 
$2,700, living allowance, $1,500; J. A. Urquhart, S3.000, living allowance, $1,500. 

D The expenditures in this allotment consist of: Coal, $1,412.10; coal oil, $565.14; dog food, 
$882.75; gasoline and oil, $1,593; hunting and fishing supplies. $595.86; fuel oil. $29S.93; 
medical supplies. $4,017.28; photographic supplies. $252.09; provisions, $17,435.S1 ; sundry 
supplies, $2,770.67. 

E This allotment i< made up aa follows: Travelling expenses of employees, $2,688.67; of 
others. $1,707.93. Employees who received $300 or over include: W. N. McKee, $656.69 of 
which $466.94 was removal expenses; M. Meikle, $1,258.73; J. Melling, $326.70 removal 
expenses. 



180 AUDITOR GENERAL'S REPORT 

H Assistance in the maintenance of hospitals and schools accounts for the greater part 
of this allotment. Under authority of Ordinances, payment at the rate of $2.50 per 
day is made for the treatment and maintenance of indigent patients in hospitals. Grants 
are made to the Church of England and Roman Catholic authorities towards the main- 
tenance of day and boarding schools. Hospital maintenance amounting to $27,734.75 was 
paid to the following: Aklavik, All Saints Mission, $5,681; Roman Catholic Mission, 
$1,822.50; Chesterfield, Ste. Theresa's General Hospital, $3,587.50; Dartmouth, N.S., Nova 
Scotia General Hospital, $878.89; Fort Rae, Faraud Hospital, $265; Fort Resolution, 
St. Joseph's Hospital, $1,409.50; Fort Simpson, Ste. Marguerite's, $1,042.50; Fort Smith, 
Roman Catholic General, $1,964.50; Hay River, St. Peter's, $325; London, Ont., Queen 
Alexandra Sanatorium, $198.78; Moose Factory, Newnham Hospital, $120; Pangnirtung, 
St. Luke's, $7,646.05; Ponoka, Alta., Provincial Mental Hospital, $2,573.03; sundry, $220.50. 
Grants to day schools amounting to $3,970.83 were as follow: Church of England Missions, 
Aklavik, $400, Baker Lake, $62.50, Eskimo Point, $62.50, Fort Simpson, $150, Pangnirtung, 
$187.50; Roman Catholic Missions, Aklavik, $400, Fort Providence, $400, Fort Resolution, 
$400, Fort Simpson, $200, Fort Smith, $500; Yellowknife Public School, $1,208.33; Grants 
to boarding schools amounting to $22,895.80 were as follows: Church of England Missions, 
Aklavik, $8,730.69; Roman Catholic Missions, Aklavik, $7,842.52; Chesterfield, $2,286.04; 
Fort Providence, $1,860; Fort Resolution, $2,176.55. 



Vote 135 Government of the Northwest Territories — Eastern Arctic 

Expedition 25,700 00 

Vote 488 Further amount required 34,840 00 

60,540 00 
Expenditures 58,652 74 

Lapsed '. $ 1,887 26 



Estimates Allotments 

details authorized Expenditures 

A Miscellaneous Expenses, including Charter 

of Vessel 25,000 00 25.000 00 25,000 00 

B Supplies and Materials 200 00 200 00 19 70 

C Freight, Expenses, Telegrams, Postage, etc. 34,940 00 3,4,090 00 32,485 68 

D Travelling Expenses 400 00 1,250 00 1,147 36 



$ 60,540 00 $ 60,540 00 $ 58,652 74 



Comments on Expenditures 

A The Hudson's Bay Company under authority of an agreement approved by Order in 

Council 2155 May 23, 1940, received $25,000 for a chartered trip of the S.S. Nascopie. 

Under this agreement the Company transports 800 tons of freight and 20 round trip 

passengers. 
C In addition to the amount paid under A, the Hudson's Bay Company received $32,446.88 

for transportation of further supplies and equipment under a schedule of rates approved by 

Order in Council 34/3191 of May 6, 1941. 



Vote 487 Government of the Northwest Territories — For the payment of 
Legal expenses in connection with the Indian Eskimo 
Reference 10,000 00 

Expenditures 9,903 43 

Lapsed $ 96 57 



DEPARTMENT OF MINES AND RESOURCES 181 

Comments on Expenditures 

The above expenditure was incurred in presenting the case; of the Dominion Government 
versus the Province <>f Quebec before the Supreme Court of Canada in June, 1938, on the 
question of whether the term "Indian" as used in the British North America Acl of 1867 
included Eskimos. The counsel of the Dominion Government, J. M. Stewart, K.C., Halifax, 
received the above amount for his services for the period 1934 to 1938. 

Vote 136 Government of the Yukon Territory — Administration 41,750 00 

Vote 489 Further amount required 4,500 00 



46,250 00 
Expenditures 40,223 83 



Lapsed . . .$ 6,026 17 



A Salaries 

B Living Allowances 

C Maintenance, Transportation, etc., of Insane 

Patients 

D Advertising and Publicity 

E Freight, Express, Telegrams, Postage, etc.. 

F Travelling Expenses 

G Printing and Stationery 

H Sundries 



Estimates 


Allotments 




details 


authorized 


Expenditures 


17,885 00 


18,185 00 


17,012 60 


7,700 00 


7,700 00 


7,699 92 


15,500 00 


15,500 00 


11,272 75 


1,000 00 


1,000 00 


999 72 


1,000 00 


1,000 00 


955 86 


1.000 00 


1,000 00 


938 45 


1,000 00 


1,000 00 


516 07 


1,165 00 


865 00 


828 46 



$ 46,250 00 $ 46,250 00 $ 40,223 83 



Comments on Expenditures 

A B As of March 31, 1942, there were 11 employees paid from this vote. The following 

were receiving salaries of $2,400 or over on that date: G. H. Capell, $1,715.28; living 
allowance, $1,500; V. Faulkner, $1,715.28, living allowance, $1,200; J. E. Gibben, S4,500 
(see Vote 134); G. A. Jeckell, $4,620, living allowance, $2,000; M. Munroe, $1,175.28, living 
allowance, Sl,500; S. M. Wood, $1,865.28, living allowance, $1,500. 
C The Province of British Columbia received $10,978.03 for care and maintenance, etc., 
of insane patients at Essondale and New Westminster Hospitals. 

Vote 137 Government of the Yukon Territory — Grant to Yukon Council 47,500 00 
Expenditures 47,500 00 



Comments on Expenditures 

This grant is used to assist the local government in general expenditures including the 
construction and maintenance of roads, etc. The receipt and expenditure of the territorial 
funds, and of the portion of moneys appropriated by Parliament which the Commissioner 
is authorized to expend, were examined and audited in accordance with the provisions of 
section 22 of the Yukon Act, Chapter 215, R.S. 1927. 

In addition to the above grant a further sum of $20,000 was provided from the War 
Appropriation for the construction of a road and bridge in the Mayo district. 

Vote 490 Government of the Yukon Territory — Compassionate Grant to 

Denis Ryan 2,500 00 

Expenditures $ 2,500 00 



182 AUDITOR GENERAL'S REPORT 

Comments on Expenditures 

Denis Ryan was accidentally killed while crossing on the Government ferry at Dawson 
on June 14, 1936. The above payment is a grant to the father in full settlement of all claims. 

Vote 138 Dominion Forest Service — General scientific, economic and 

administrative services 115,740 00 

Expenditures 113,048 49 

Lapsed $ 2,691 51 

Estimates Allotments 

details authorized Expenditures 

A Salaries and Wages 105,955 00 105,955 00 105,504 41 

B Living Allowances 288 00 288 00 252 00 

C Travelling Expenses 3,687 00 3,137 00 1,530 41 

D Printing and Stationery 1,950 00 2,250 00 2,235 63 

E Supplies and Materials 1,680 00 1,680 00 1,327 27 

F Telephones, Telegrams, Freight, Cartage, etc. 1,223 00 1,223 00 995 92 

G Equipment 700 00 725 00 721 68 

H Sundries 257 00 482-00 48117 



$ 115,740 00 $ 115,740 00 $ 113,048 49 



Comments on Expenditures 

The purpose of this vote is to provide for administrative services in the advancement of 
forest conservation in Canada; the investigations of forest conditions and determination of 
rates of growth. 

The amounts expended on these services are as follows: Head Office, $90,193.01; Maritime 
District Office, $5,208.31; Manitoba-Saskatchewan District Office, $7,351.56; New Brunswick 
Survey, $10,295.61. 
A As of March 31, 1942, there were 47 employees paid from this vote. The following were 

receiving annual salaries of $2,400 or over on that date: D. R. Cameron, $5,400; R. H. 

Candy, $2,700; H. A. DeVeber, $2,700; J. R. Dickson, $3,000; P. A. Gorman, $3,240; 

W. E. D. Halliday, $2,700; J. D. B. Harrison, $3,600; H. L. Holman, $3,300; D. A. 

MacDonald, $4,620; G. A. Mulloy, $3,000; W. M. Robertson, $4,020; H. E. Seely, $2,700; 

G. Tunstell, $3,300; E. E. Turton, $3,000; J. C. Veness, $3,000; R. M. Watt $2,700; 

J. G. Wright, $3,120. 
B Two Forest Assistants, Grade I, receive an allowance at a rate of $144 in lieu of house. 
C Travelling expenses of $300 and over include D. R. Cameron, $327.32, D. A. MacDonald, 

$300.44. 
E G These allotments include auto repairs, $645.36; gasoline and oil, $390.63; photographic 

supplies, etc., $302.22; miscellaneous supplies, $710.74. 

Vote 139 Dominion Forest Service — Forest Experiment Stations 47,140 00 

Expenditures 41,489 50 



Lapsed $ 5,650 50 



Estimates Allotments 

details authorized Expenditures 

A Salaries and Wages 37,612 00 36,852 00 31,682 41 

B Travelling Expenses 595 00 595 00 385 88 

C Printing and Stationery 455 00 455 00 207 28 

D Supplies and Materials 4,933 00 5,023 00 5,021 61 

E Telephones, Telegrams, Freight, Cartage, etc. 400 00 520 00 519 07 

F Equipment 2,775 00 3,325 00 3,322 38 

G Sundries 370 00 370 00 350 87 



$ 47,140 00 $ 47,140 00 $ 41,489 50 



DEPARTMENT OE MINES AND RESOURCES 183 

Comments on Expenditures 

This vote provides for research work at five forest experiment, stations, Acadia, 
Valcartier, IVtawawa, Riding Mountain and Kananaskis. The results are made available 
to the provinces and industry. 

The amounts expended at these stations are as follows: Acadia, SO, 132.24; Valcartier. 
$1,415.61; IVtawawa, $23,109.92; Riding Mountain, $1,020.92; Kananaskis, $6,210.81. 

A As of March 31, 1942, there were 7 salaried employees paid from this vote. The following 
received S2,400 or over on that date: M. B. Morison, S2,610; E. G. Saunders, $2,700. 

D F These allotments include the following payments: fuel oil, $417.36; gasoline and oil, 
$3,6S5.61 ; auto supplies and repairs, $2,489.85; equipment and repairs, $1,632.40; 
miscellaneous supplies, $118.77. 

Vote 140 Dominion Forest Service — Forest Products Laboratories .... 144,097 00 
Expenditures 133,725 28 



Lapsed $ 10,371 72 



Estimates 
details 

A Salaries and Wages 127,121 00 

B Travelling Expenses 2,500 00 

C Printing and Stationery 2,380 00 

D Supplies and Materials 3,935 00 

E Telephones, Telegrams, Freight, Cartage, etc. 1,465 00 

F Equipment 6,696 00 

G Sundry 



Allotments 




authorized 


Expenditures 


127,121 00 


119,099 52 


2,500 00 


1,232 80 


2,700 00 


2,698 44 


5,455 00 


5,452 11 


1,465 00 


980 39 


3,906 00 


3,313 43 


950 00 


948 59 



$ 144,097 00 $ 144,097 00 $ 133,725 28 



Comments on Expenditures 

This vote is to provide for the operation of Forest Products Laboratories of which 
there are three units, namely the main Laboratories at Ottawa, a pulp and paper division 
at Montreal in the operation of which the Canadian Pulp and Paper Association participates, 
and a branch laboratory in Vancouver, housed in the buildings provided by the British 
Columbia Government. 

A As of March 31, 1942, there were 55 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date or at date of separation (shown 
in brackets): J. B. Alexander, $2,880; M. J. Brophy, $3,480; R. M. Brown, $4,320; H. W. 
Eades, S2/700; E. S. Fellows, $2,940; C. W. Fritz, $2,880; C. Greaves, $3,300; J. D. Hale, 
$3,240; J. F. Harkom, $3,480; T. A. McElhanney, $4,620; R. S. Millett, $2,700; C. R. 
Mitchell, S2/700; R. S. Perry, $2,880; G. H. Rochester, $3,480 (on loan to Department of 
Munitions and Supply from Nov. 1); A. A. Scott, $4,320; W. E. Wakefield, $2,700; 
F. H. Yorston, $3,300. 

D F These allotments include auto repairs, $217.07; gasoline and oil, $178.87; laboratory 
equipment and supplies, $3,096.02; office equipment, $214.44; scientific equipment and 
supplies St.Sll.82; photographic supplies, $247.32. 

Vote 141 Dominion Forest Service: Grant to Canadian Forestry Association $1,620 00 



Vote 142 Land Registry, Seed Grain Collections, Administration of Ord- 
nance, Admiralty and Public Lands 53,725 00 

Expenditures 51,390 46 

Lapsed $ 2,334 54 



184 AUDITOR GENERAL'S REPORT 

Estimates Allotments 

details authorized Expenditures 

A Salaries 50,720 00 48,920 00 47,883 18 

B Travelling Expenses 300 00 300 00 35 20 

C Telephones, Telegrams, Postage, etc 100 00 100 00 32 57 

D Supplies and Materials 400 00 400 00 60 84 

E Printing and Stationery 1,100 00 1,700 00 1,614 93 

F Legal and Registration Fees 200 00 200 00 114 69 

G Surveys 300 00 300 00 113 67 

H Sundries, including Local Improvement 

Taxes 605 00 605 00 335 38 

I Soldier Settlement 1,200 00 1,200 00 



$ 53,725 00 S 53,725 00 $ 51,390 46 



Comments on Expenditures 

A As of March 31, 1942, there were 26 employees paid from this vote. The following were 
receiving annual salari.es of $2,400 or over on that date: A. A. Cahoon, $3,000; J. C. Cowan, 
$2,400; A. S. Cram, $3,240; J. M. Douglas, $2,400; J. F. Gillespie, $3,000; C. R. G. Olmstead, 
$2,400; H. L. Stewart, $2,400; J. W. L. Turner, $5,220. 

I This payment of $1,200 was made to the Soldier Settlement Board for investigation work 
in connection with appraisal of land values, etc. 

Vote 143 National Parks — National Parks and Historic Sites Services. . 1,144,380 00 

Vote 420 For cost of living bonus subject to allocation by the Treasury 

Board 3,278 19 

1,147,658 19 
Expenditures 1,147,641 . 59 

Lapsed $ 16 60 



Estimates Allotments 

details authorized Expenditures 

A Salaries and Wages 769,779 00 794,414 00 794,414 00 

B Bonus— Net Requirements (Vote 420) .... 3,278 19 3,278 19 

C Travelling Expenses 15,000 00 8,390 00 8,387 69 

D Freight, Express, etc 18,000 00 ' 15,110 00 15,106 22 

E Printing and Stationery 30,000 00 28,945 00 28,941 45 

F Equipment, Materials and Supplies 290,000 00 262,625 00 262,624 16 

G Allowances 1,080 00 1,105 00 1,101 29 

H Sundries 20,521 00 33,791 00 33,788 59 



$1,144,380 00 $1,147,658 19 $1,147,641 59 



Comments on Expenditures 

In addition to the expenditures in the National Parks and on Historic Sites paid from 
this vote, other expenditures were paid from Votes 177 and 178. The total park expenditure 
of these votes is $1,487,169.25. 

The expenditures of Vote 143 by Parks and Services are as follows: Head Office 
$110,545.23; Publicity Bureau, $35,340.83; Historic Sites, $24,101.05; Banff Park, $277,181.74 
Buffalo Park, $118.39; Cape Breton Highlands Parks, $52,970.85; Elk Island Park, $37,096.82 
Georgian Bay Islands Park, $2,762.29; Glacier Park, $7,800.75; Jasper Park, $211,595.46 
Kootenay Park, $58,888.60; Nemiskan Park, $997.74; Point Pelee Park, $10,268; Prince Albert 



DEPARTMENT OF MINES AND RESOURCES 185 

Park, $73,627.49; Prince Edward Island Park, $28,846.0.") ; Revelstoke Park, $10,232.09; 
Riding Mountain Park, $82,876.43; St. Lawrence [slanda Park, $1,930.59; Waterton Lakes 
Park, $66,309.90; Yc-ho Park, $55,151.20. 
A As at March 31, 1942, then- were 200 employees paid from this vote. The following were 

receiving animal salaries of $2,400 or over on that date, or at date of separation (shown in 
brackets): G. W. Bryan, $2,400; J. H. Byrne, $3,300; C. G. Childe, $2,700; H. H. Clarke, 
$3,600; W. D. Cromarty, $4,020; S. E. Hand, $2,400; O. Heaslip, $2,820 and house; T. 8. B. 
Beaslip, $2,400; D. L. Hogan, $3,000; G. J. Horsey, $3,300 and house; .1. L. Horsfall, $2,400; 
I. Howard, $2,400; P. J. Jennings, $3,120 and house; H. Knight, 82,400; C. W. Le ( lapelain, 
$2,820 and house; W. F. Lothian, $2,400; J. D. B. MacFarlanc, $3,060; J. P. McMillan, 
$2,820 and house; J. G. Perdue, $2,520; C. H. E. Powell, $3,720; G. E. B. Sinclair, $3,840; 
J. Smart, $4,800; J. B. Snape, $2,700 (Nov. 1.); J. E. Spero, $4,020; R. J. C. Stead, $4,620; 
F. H. H. Williamson, $5,400 (Sept. 19); J. A. Wood, $3,300 and house. 

Also paid -from this allotment were wages a,t prevailing rates amounting to $447,179.83. 

B Travelling expenses of $300 and over include, C. H. D. Clarke, $309.93; W. D. Cromarty, 
$336.73; T. S. Heaslip, $327.33; J. C. Lessard, $498.31; G. E. B. Sinclair, $319.68; J. Smart, 
$664.95; R. J. Stead, $1,306.99. 

E G The following received payments of $5,000 or over: J. H. Ashdown Hardware Co. Ltd., 
hardware, $6,450.43; Brewster's Garage, repair parts for mechanical transport, $6,124.69; 
British American Oil Co. Ltd., gasoline and oil, $10,401.07; Brunner, Mond Canada Sales, 
Ltd., road oil, $28,035.93; Burns Co. Ltd., provisions, $18,761.47; Canadian National 
Railways, electric energy, $17,437.80; Gas and Oil Products, Ltd., road oil, $24,676.38; 
Home and Pitfield, Ltd., provisions, $6,916.59; Imperial Oil Ltd., gasoline and oil, 
$25,348.24; McColl Frontenac Co. Ltd., gasoline and oil, $12,169.89; McDonald Consolidated, 
provisions, $14,495.96; Charles Niedner's Sons, equipment, $5,735.17; North Star Oil Ltd, 
gasoline and oil, $9,804.01; Union Oil Co. of Canada Ltd., gasoline and oil, $7,632.60; 
Union Tractor and Harvester Co. Ltd., road machinery, etc., $6,853.73; Unwin's Ltd., 
building material, $5,480.52; Western Grocers Ltd., provisions, $18,647.86. 

F The incumbents of several positions receive free house, fuel and light, or an allowance in 
lieu thereof. The following received cash allowances: E. K. Eaton, $600; S. G. James, $180, 
H. Knight, $321.29. 

Vote 144 National Parks Bureau — Administration of Migratory Birds 

Convention Act 48,920 00 

Expenditures ... 46,246 15 



Lapsed $ 2,673 85 



A Salaries and Wages 

B Travelling Expenses 

C Freight, Express, etc 

D Printing and Stationery 

E Equipment, Materials and Supplies 

F Sundries 



Estimates 


Allotments 




details 


authorized 


Expenditures 


38,692 00 


38.692 00 


38,534 19 


5,000 00 


5,000 00 


4,460 78 


500 00 


500 00 


474 02 


2,000 00 


2,000 00 


1,331 79 


2,000 00 


2,000 00 


1,352 53 


728 00 


728 00 


92 S4 



$ 48,920 00 S 48,920 00 S 46,246 15 



Comments on Expenditures 

This vote provides for expenses connected with the protection of migratory birds in 
Canadian Territory pursuant to a treaty signed at Washington on August 16, 1916, and 
ratified by Parliament in 1917. 
A As of March 31, 1942, there were 33 employees paid from this vote. The following 

were receiving annual salaries of $2,400 or over on that date: C. H. Bennett, $2,400; 

J. B. Corcoran, S2,400; E. J. Ebbs, $2,400; H. F. Lewis, $3,000; H. Lloyd, $4,020; J. A. 

Munro, $3,000; J. D. Soper, $3,000; R. W. Tufts, S3,000. 
B The following were paid travelling expenses of $300 or over: H. F. Lewis, S36S.49; 

J. A. Munro, S934.21; J. D. Soper, SS01.85; R. W. Tufts, $732.42; sundry, $1,623.S1. 
59727—13 



186 AUDITOR GENERAL'S REPORT 

Vote 145 Grant to John Thomas (Jack) Miner $ 2,500 00 



Comments on Expenditures 

This grant is to assist Mr. Miner in the work of conservation of wild bird life at his bird 
sanctuary at Kingsville, Ont. 

Mr. Miner also received a payment of $805 for services as Game Warden, part time, under 
Vote 144, Administration of Migratory Birds Convention Act. 

The Refunds (Natural Resources) Act, Chap, 35, 1932 $ 105 15 



Comments on Expenditures 

This payment is a refund to the Province of British Columbia of revenue collected prior 
to the transfer of the natural resources to the western provinces in 1930. 



Vote 68 Unforeseen expenses, expenditure thereof to be subject to the 
Approval of the Treasury Board, and a detailed statement 
to be laid before Parliament within fifteen days of next 
Session. 

Allotment $ 1,116 18 

Expenditures $ 1,116 18 



Comments on Expenditures 

The expenditure was incurred in connection with ceremonies at St. Lin, P.Q., commemo- 
rating the 100th anniversary of the birth of Sir Wilfrid Laurier and was classified as follows: 
wages, $31.50; travelling expenses, $286.82; reception expenses, $399; sundries, $398.86. 

SURVEYS AND ENGINEERING BRANCH 

Vote 146 Branch Administration 21,950 00 

Expenditures 21,094 11 

Lapsed $ 855 89 

Estimates Allotments 

details authorized Expenditures 

A Salaries 19,770 00 19,470 00 19,203 40 

B Travelling Expenses 600 00 900 00 650 52 

C Printing and Stationery 800 00 950 00 890 37 

D Sundries 780 00 630 00 349 82 



$ 21,950 00 $ 21,950 00 $ 21,094 11 



Comments on Expenditures 

A As of March 31, 1942, there were 8 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date: J. M. Wardle, Director, $7,500; 
J. A. Pounder, $4,320. 

B Travelling expenses of $300 and over include: J. M. Wardle, $522.12. 

Vote 147 Dominion Observatory, Ottawa 95,845 00 

Expenditures 94,666 49 

Lapsed $ 1,178 51 



DEPARTMENT OF MINUS AND RESOURCES 187 



A Salaries 

B Field Surveys and Travelling 

C Supplies and Equipmenl 

D Sundries 



Estimates 


Allotments 




details 


authorized 


Expenditures 


85,930 00 


85,935 62 


85,935 62 


1,900 00 


1,894 38 


1,371 


7.150 00 


7,150 (M) 


6,571 38 


865 00 


865 00 


787 60 



$ 95,845 00 S 95,845 00 S 94,666 49 



Comments on Expenditures 

A As of March 31, 1912. there were 34 employees paid from this vote. The following 
receiving annual salaries of $2,400 or over on that date: E. C. Arbogast, s:',,240; R. E. 
ry, $4,620; W. W. Doxsee, $3,180; J. P. Henderson, $3,240; E. A. Ho <i,840 

W. W.Jackson, $3,840; J. H. Labbe, $2,520; R. G. Madill, $3,240; W. S. McLenahan, $3,240 
R. J. McDiarmid, $3,240; D. B. Nugent, 83,540; W. E. Ross, $2,700; O. Sills, $3,000 
R. M. Stewart, $5,220 and house valued at $600; A. H. Swinburn, $3,240. 

B Travelling expenses of $300 and over include: R. G. Madill, $745.53. 

C General Radio Co., Cambridge, Mass., for supplying observatory equipment were paid 
$2,339.05. 

Vote 148 Dominion Astro physical Observatory, Victoria, B.C 30,880 00 

Expenditures 28,504 25 



Lapsed $ 2,375 75 



Estimates Allotments 

details authorized Expenditures 

A Salaries 26,790 00 23,840 00 21,88116 

B Travelling 300 00 400 00 355 06 

C Supplies and Equipment 3,220 00 5,720 00 5,449 97 

D Sundries 570 00 920 00 818 06 



$ 30,880 00 S 30,880 00 $ 28,504 25 



Comments on Expenditures 

A As of March 31, 1942, there were 8 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date or at date of separation (shown 
in brackets): C. S. Beals, $3,960; A. McKellar, $2,700 (on loan Nov. 30); J. A. Pearce, 
$4,320 and house valued at $600; R. M. Petrie, $3,300. 

Vote 149 Dominion Water and Power Bureau, including the administra- 
tion of the Dominion Water Power and Irrigation Acts. . . . 203,150 00 
Expenditures 198,841 96 

Lapsed $ 4,308 04 

Estimates Allotments 

details authorized Expenditures 

A Salaries and Wages 168,055 00 164,955 00 162,330 80 

B Field and Travelling Expenses 20,200 00 21,700 00 21,185 64 

C Printing and Stationery 7,000 00 8,600 00 8,097 84 

D Supplies and Equipment 5,000 00 5,000 00 4,835 97 

E Miscellaneous Expenses, including Tele- 
phones, Telegrams, Freight, Cartage, 

etc 2,895 00 2,895 00 2,391 71 



$ 203,150 00 S 203,150 00 S 198,841 96 
59727— 13 i 



188 AUDITOR GENERAL'S REPORT 

Comments on Expenditures 

The purpose of this vote is to provide for expenses of the Dominion Water Power 
Bureaux throughout the Dominion including hydrometric measurements, international water 
flow data, the administration of the Water Power and Irrigation Acts. 

The Dominion receives contributions from the Provinces towards the costs of water 
power investigations. The amounts received during this fiscal year totalling $30,822 were 
deposited to Revenues and are referred to in the Revenue Section. They are as follows: 
Alberta, $2,000; British Columbia, $5,000; Nova Scotia, $3,322; Ontario, $8,500; Quebec, 
$10,000; Saskatchewan, $2,000. 

A As of March 31, 1942, there were 59 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date, or at date of separation (shown in 
brackets): N. T. Allan, $3,120; A. M. Beale, $3,720; J. R. Bissett, $3,300; J. Cawthorne, 
$2,580; K. G. Chisholm, $3,960; C. G. Cline, $3,300; M. F. Cochrane, $3,720; S. G. Dawson, 
$3,300; L. G. Denis, $3,960; P. A. Fetterly, $2,700; J. P. R. Gauthier, $2,700; D. B. Gow, 
$3,960; J. Hall, $2,700; O. H. Hoover, $3,300; G. E. Jones, $2,700; N. Marr, $4,920'; 
W. T. McFarlane, $2,700 (May 1); V. M. Meek, $5,100; T. M. Patterson, $3,300; A. Roger, 
$2,700; I. R. Strome, $3,720; C. E. Webb, $3,960; A. G. Wilkins, $3,300; A. C. Wimberley, 
$2,700; G. H. Wood, $2,700. 

Also included in this allotment are wages of labourers and gauge readers by districts as 
follows: Martime District, $1,249.84; Quebec, $2,228.68; Ontario, $6,597.66; Manitoba and 
Western Ontario District, $1,664.78; Alberta and Saskatchewan, $2,265.73; British Columbia, 
$4,558.79. 
B Travelling expenses of $300 or over include: R. D. Barnetson, $723.34; J. R. Bissett,- 
$1,115.90; J. A. P. Bourgeois, $811.95; C. Bray, $878.23; T. H. Burt, $564.36; C. B. Corbould, 
$788.48; P. A. Fetterly, $663.69; N. I. Foster, $539.62; O. E. Fournier, $957.30; H. T. 
Galbraith, $489.18 including removal expenses of $346.51; J. P. R. Gauthier, $1,422.90; D. B. 
Gow, $393.46; V. M. Meek, $837.89; T. J. Moore, $714.77; C. E. Webb, $931.15; 
A. C. Whitehouse, $802.68; J. W. H. W 7 ilkes, $1,306.49; W. H. Yeates, $1,138.87. 

Also included in this allotment are the following: auto supplies and repairs, $4,022.46; 
storage, $796.50; sundries, $565.54. 
D This allotment includes motor cars, $962.37; gauge supplies, $1,875.75; scientific equipment, 
etc., $1,997.85. 

Vote 150 Lake of the Woods Control Board 7,685 00 

Vote 420 For cost of living bonus subject to allocation by the Treasury- 
Board 190 56 



7,875 56 
Expenditures 7,566 63 



Lapsed $ 308 93 



Estimates Allotments 

details authorized Expenditures 

A Salaries and Wages 6,585 00 6,585 00 6,546 65 

B Bonus— Net Requirements (Vote 420) 190 56 190 56 

C Field, Travel and Incidental Expenses ... . 1,10000 1,10000 82942 



$ 7,685 00 $ 7,875 56 $ 7,566 63 



Comments on Expenditures 

A portion of the maintenance expenditure paid from this vote is repaid in accordance with 
sections 8 and 9 of the agreement in the Manitoba Natural Resources Act, by the Province of 
Manitoba on a calendar year basis. The amount refunded for the calendar year 1941 is 
$6,038.90 and is reported under Casual Revenue, Department of Mines and Resources. 
A As of March 31, 1942, there were 3 employees paid from this vote. No employee was 
receiving an annual salary of $2,400 or over on that date. 



DEPARTMENT OF MINES AND RESOURCES 189 

Vote 151 Expenses incurred under the Agreement between the Dominion, 
Ontario and Manitoba, confirmed by the Lac Senl Conser- 
vation Act 1928, moneys expended to be largely reimbursed 18,000 00 
Expenditures jj qq2 59 



Lapsed g 997 41 



Estimates Allotments 

details authorized Expenditures 



A Payment to Ontario of annual interest and 
operation charges for the calendar 

• V(1;ir 1941 16,693 60 16,693 60 

B Annual operating costs incurred by the 

Dominion ■ 1,000 00 1,000 00 

C Miscellaneous and capital contingencies 306 40 306 40 



16,419 48 
583 11 



$ 18,000 00 $ 18,000 00 $ 17,002 59 



Comments on Expenditures 

The greater portion of the above expenditure is to be refunded by the Province of 
Manitoba in accordance with sections 8 and 9 of the agreement in the 'Manitoba Natural 
rces Act which requires the Province to repay to the Dominion all capital and 
operating charges in connection with the development of power in the Winnipeg River 
incurred by reason of the Lac Seul Conservation Act of 1928, Chapter 32. The Province 
repays on a calendar year basis and the amount refunded for 1941 is $17,304.74 and is 
reported under Casual Revenue, Department of Mines and Resources. 

Vote 491 Dominion Water and Power Bureau: For acquiring flowage 
easements and discharging claims of owners of riparian 
lands in Ontario below the outlets of Lake of the Woods 
affected by regulations under the Lake of the Woods 

Control Board Act (Revote) 2,000 00 

Expenditures 113 20 



Lapsed $ 1886 80 



Comments on Expenditures 

The above expenditure was paid to the Province of Ontario as the Dominion's share of 
P e cos * of acquiring easements, etc., and discharging claims of owners of riparian lands. 

The Provinces of Ontario and Manitoba in accordance with the November 15, 1922. 

fceement regarding the control of the upper waters of the Winnipeg River, and Section 8 

of ,,l! ' agreement in the Manitoba Natural Resources Act, will repay to the Dominion the 

• portion of the above expenditures less one-third attributable to navigation and borne 

by the Federal Government. 

Vote 492 Dominion Water and Power Bureau: For general expenses of 
the Committee established under P.C. 682 dated February 
17, 1941, to report on the conservation of the waters of 

the St. Mary and Milk Rivers . . 500 00 

Expenditures 120 74 



Lapsed $ 379 26 



Comments on Expenditures 

The Committee appointed by Order in Council consisted of three members namely. 
Mr. Victor Meek, Dominion Water Power Bureau, Department of Mires and Resources, 
Mr. George Spence, Director of Prairie Farm Rehabilitation, Department Df Agriculture and 



190 



AUDITOR GENERAL'S REPORT 



Mr. W. E. Hunter, Accounts Branch, Department of Finance. The Order in Council 
further directed that the expenses of each member be borne by the Department of which he 
is a member and that general expenses that cannot be properly met by the Departments will 
be provided for in the votes of the Water Power Bureau. 

Travelling expenses of two technical advisors to the Committee were charged to this 
vote. 



Vote 152 Engineering and Construction Service ; 87,530 00 

Expenditures 80.032 96 

Lapsed $ 7,497 04 



A Salaries 

B Travelling Expenses . . . 

C Printing and Stationery 

D Sundries 



Estimates 
details 

80,530 00 
1,500 00 
1,500 00 
4,000 00 


Allotments 
authorized 

80,530 00 
1,500 00 
1,500 00 
4£)00 00 


Expenditures 

74,241 86 
1,130 86 
1,130 00 
3,530 24 


$ 87,530 00 


$ 87,530 00 


$ 80,032 96 



Comments on Expenditures 

A As of March 31, 1942, there were 33 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date, or at date of separation (shown 
m brackets): C. H. Buck, $3,060; C. R. Cornish, $2,700; J. Dudley, $2,700 (on loan to 
Department of National Defence from May 28) ; K. D. Harris, $3,120; T. S. Mills, $5,220; 
J. H. Mitchell, $3,300; P. Shaw, $2,700; W. H. Snelson, $2,700; N. A. Sparks, $2,700; 
R. L. Squire, $2,940; J. N. Stinson, $4,020; A. S. Thomas, $2,700; C. M. Walker, $4,020. 

B Travelling expenses of $300 and over include T. S. Mills, $530.61. 



Vote 153 Geodetic Service 135,840 00 

Expenditures 129,909 21 

Lapsed $ 5,930 79 



Estimates 
details 

A Salaries and Wages 123,340 00 

B Other Expenses of Field Parties 9,050 00 

C Travelling Expenses 200 00 

D Printing and Stationery 1,200 00 

E Sundries 2,050 00 



Allotments 

authorized Expenditures 



119,340 00 


115,404 61 


11,050 00 


10,602 68 


200 00 


38 20 


3,200 00 


2,060 35 


2,050 00 


1,805 37 



$ 135,840 00 $ 135,840 00 $ 129,909 21 



Comments on Expenditures 

A As of March 31, 1942, there were 35 employees paid from this vote. The following 
were receiving annual salaries of $2,400 or over on that date, or at date of separation 
(shown in brackets): H. M. Barton, $3,240; E. W. Berry, $3,285; J. P. Cordukes,, $3,240; 
G. F. Dalton, $3,240; T. C. Dennis, $3,240; W. M. Dennis, $3,420; L. O. R. Dozois, $3,285; 
D. J. Fraser, $3,240; G. H. D. Gibson, $2,520; J. H. Kihl, $2,700; W. H. MacTavish, $3,240; 
G. H. McCallum, $3,420 (Nov. 1. See also Vote 155); F. A. McDiarmid, $3,420; 
D. McMillan, $2,700; J. W. Menzies, $3,240; R. H. Montgomery, $3,720; W. C. Murdie, 
$3,240 (on military leave from June 17); C. H. Ney, $3,240; N. J. Ogilvie, $5,400; T. H. 
Parker, $3,240; G. S. Raley, $2,700; J. L. Rannie, $4,020; J. E. Ratz-Ross, $3,420; F. B. Reid, 






DEPARTMENT OF MINES AND RESOURCES 191 

13,420; J. M. Riddell, $3,240 (on military leave from Juno 25, noon); K. IT. Robb $2,700; 
W. M. Tobey, $1,320; L. N. Wadlin, $3,240; C. R. W< rtland, $3,240; B. J. Woodruff, S2,700. 
Also included in this allotmenl are wages of field parties, $9,897.54. 

B The expenses of this allotment include travelling and maintenance expenses of Geodetic 
field parties exclusive of wages. 

Vote 154 To recoup the Temiskaming and Northern Ontario Railway 
Commission in connection with their claim for injury to John 
Hetlin $ 240 00 



Comments on Expenditures 

Pension awarded under the Workmen's Compensation Act to John Hedin for injuries 
ived in October, 1921. 

Vote 155 International Boundary Commission 33,400 00 

Expenditures 30,918 91 

Lapsed $ 2,481 09 

Estimates Allotments 

details authorized Expenditures 

A Salaries and Wages 27.160 00 26,895 00 25,232 45 

B Other Expenses of Field Parties 3,300 00 3,565 00 3,510 49 

C Installing Lights on Range Marks at 

Boundary Bay, B.C 1,200 00 1,200 00 975 86 

D Travelling Expenses 500 00 900 00 59156 

E Stationery 240 00 240 00 72 78 

F Sundries 1,000 00 600 00 535 77 



$ 33,400 00 $ 33,400 00 $ 30,918 91 



Comments on Expenditures 

A As of March 31, 1942, there were 7 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date: D. F. Chisholm, S2,700; 
H. S. Mussell. $3,240; G. H. McCallum, §3,480; J. R. O'Connell, $3,120; G. T. Prinsep, $3,240. 
Also included in this allotment are wages of field parties, $7,812.17. 

B The following expenses are included in this allotment: travelling expenses, G. T. Prinsep, 
S399.28, field parties, $562.89; provisions, $1,843.44. 

D Travelling expenses of $300 and over include N. J. Ogilvie, $305,83. 

Vote 156 Hydrographic and Map Service: Hydrographic Service. . . . 350,824 00 
Expenditures 346,721 70 

Lapsed $ 4,102 30 

Estimates Allotments 

details authorized Expenditures 

A Salaries and Wages 266.596 00 246,746 00 246,5S3 62 

B Travelling Expenses 0.075 00 7,125 00 7,014 96 

C Printing and Stationery 4,520 00 3,720 00 '4 37 

D Supplies 40,26100 55,56100 53,147 63 

E Repairs 10,815 00 8,865 00 381 07 

F Charts and Publications 15,925 00 23,275 00 22,406 07 

<; Sundries 6,032 00 5,532 00 5.283 98 



S 350,824 00 S 350,S24 00 $ 346.721 70 



192 AUDITOR GENERAL'S REPORT 

Comments on Expenditures 

The expenses of charting Dominion waters by stations and vessels are as follows: 
Headquarters Hydrographic Survey, $151,198.24; Nova Scotia, $18,780.73; C. G. L. Henry 
Hudson, $24,161.42; C. G. S. W. J. Stewart, $89,438.29; C. G. H. Pender, $3,112.46; Victoria 
Warehouse, $3,552.46; C. G. L. Boidton, $7,766.91; Emergency Surveys, $135.30; Headquarters 
Precise Water Levels, $17,333.44; Gauging Stations, Precise Water Levels, $11,054.77; Head- 
quarters Tidal Current, $15,333.52; Gauging Stations Tidal Current, $4,854.16. 
A As of March 31, 1942, there were 114 employees paid from this vote. The following were 

receiving annual salaries of $2,400 or over on that date, or at date of separation (shown in 

brackets) : J. U. Beauchemin, $3,900; J. Bell, $2,700; R. W. Bent, $2,940; J. Brown, $2,640; 

G. L. Crichton, $3,720; L. R. Davies, $2,940; J. L. Foreman, $2,940; R. J. Fraser, $4,620; 

N. G. Gray, $2,940; R. E. Hanson, $2,940; H. W. Jones, $3,480; H. L. Leadman, $3,900 

(on leave without pay from Jan. 1); R. B. Lee, $2,580; G. E. Lowe, $2,940; M. A. 

MacKinnon, $2,940; J. J. Moore, $2,520; H. D. Parizeau, $4,200; F. H. Peters, $5,400; 

C. A. Price, $3,480; G. A. Silver, $2,640; F. C. G. Smith, $3,900; A. Stewardson, $2,820 

(retired July 1); T. M. Tardif, $2,940; S. R. Titus, $2,820; W. J.- Watts, $2,640; W. K. 

Willis, $3,540; R. B. Young, $2,940. 

Labourers and seamen were paid prevailing rates and received $71,487.92. 
B Travelling expenses of $300 and over include: J. U. Beauchemin, $497.86; R. J. Fraser, 

$329.19; N. G. Gray, $385.29; S. Longard, $469.70; A. S. Matthewman, $653.16; H. P. 

Williams, $348.62. 
D This allotment includes, fuel, $13,021.22; provisions, $11,280.86; supplies and equipment, 

$22,099.63; gasoline, $2,598.55; sundries, $4,147.37. From this allotment the following 

firms received payments of $5,000 and over: Ontario Hughes-Owens Co., Ltd., $10,187.78; 

Vancouver Island Coals, Ltd., $10,633.52. 
E From this allotment Victoria Machinery Co., Ltd., was paid $2,455.90 for repairs to 

C. G. S. W. J. Stewart. 
F Of the total paid from this allotment, $17,792.01 was paid to the King's Printer and 

$2,479.46 to Latimer Ltd., Toronto. Revenue derived from sale of Hydrographic Charts 

and Publications and included under the revenue heading "Proceeds from Sales" amounted 

to $15,660.60. 

Vote 157 Hydrographic and Map Service: Legal Surveys and Map 
Service, including grant of $350 to assist in printing the 
publication of the Canadian Institute of Surveying. . . . 176,430 00 
Expenditures 170,096 34 



Lapped $ 6,333 66 



Estimates Allotments 

details authorized Expenditures 

A Salaries and Wages 165,030 00 158,760 00 156,698 48 

B Travelling Expenses 400 00 100 00 38 65 

C Provisions and Equipment 350 00 

D Office Expenses 10,300 00 17,220 00 13,009 21 

E Grant, Canadian Institute of Surveying . . 350 00 350 00 350 00 



$ 176.430 00 $ 176,430 00 $ 170,096 34 



Comments on Expenditures 

Revenue derived from the sale of maps and plans and credited to Dominion Lands 
Revenue amounted to $33,985.27 and is referred to under the revenue heading Dominion 
Lands, t Surveys and Water Power. 
A As of March 31, 1942, there were 70 employees paid from this vote. The following were 

receiving annual salaries of $2,400 or over on that date, or at date of separation (shown in 

brackets) : J. R. Akins, $4,020 (Dec. 29) ; F. M. Allan, $2,700; H. G. Barber, $3,720; G. S. J. 

Bayly, $3,240; H. J. Bedard, $2,760; C. W. Besserer, $2,820; W. A. Birchall, $3,420; 

W. A. Blue, $2,400; J. D. Bradley, $2,760; E. L. Burkholder, $2,580; M. G. Cameron, $3,300; 

D. E. Chartrand, $2,820; G. A. Colquhoun, $2,880; T. M. M. Cunningham, $2,940; C. B. C. 

Donnelly, $2,820; S. H. Gooday, $2,700; A. O. Gorman, $3,240; G. L. Kirwan, $2,580; 



DEPARTMENT OF MINES AND RESOURCES 193 

A. Metivier, $2,400; H. A. Murray, $3,300; T. S. Nash, $4,320 (Jan. 2); II. Parry, S3.600; 
W. J. Poaker, $3,240; S. W. Probert, $2,820; W. A. Purdy, 82,700; C. Rinfret, S3,420; 

B. W. Waugh, $1,020; W. R. White, S3,480. 

D This allotment includes stationery and office supplies, S6,264.48; photographic supplies, 
$1,991.39; sundry supplies and materials, $3,259.32. 

Vote 493 Hydrographic and Map Service — Legal Surveys and Map 
Service: Dominion contributions towards cost of extending 
the survey of the boundary between Manitoba and Saskat- 
chewan (Provinces concerned to bear two-thirds of total 

costs) | 1,000 00 

Expenditures $ 1,000 00 



Comments on Expenditures 

In order to fix bj r survey certain sections of the boundary line between the Provinces 
of Manitoba and Saskatchewan, Order in Council 5041 of July 9, 1941, set up the Manitoba- 
Saskatchewan Boundary Commission appointing thereto — F. H. Peters, Surveyor General 
of Dominion Lands representing the Dominion, H. E. Beresford, Director of Surveys 
representing Manitoba and D. A. Smith, Controller of Surveys representing Saskatchewan, 
the first named to be Chairman. The Dominion was to bear one-third of the cost up to 
$1,000. 

The total cost was $4,180.98 apportioned as follows — Dominion of Canada, $1,000.00, 
Manitoba, $1,590.49 and Saskatchewan, $1,590.49. The expenses are classified, salaries and 
wages, $3,C3S.25; travelling expenses, $501.93; provisions, $479.55; sundry, $161.25. 



e 158 Board of Examiners, Dominion Land Surveyors- *>tr. 


$ 


850 00 


Expenditures 




814 73 




Allotments 
authorized 

715 00 
135 00 




Lapsed . 


35 27 


Estimates 
details 

Fees of Examiners 630 00 




Expenditures 
715 00 


Sundries 220 00 


99 73 






$ 850 00 


S 850 00 


$ 814 73 



Comments on Expenditures 

This vote was provided to pay the fees of the Board of Examiners and to defray the 

expenses connected with the examination of candidates in accordance with the Dominion 
Lands Survey Act. 

INDIAN AFFAIRS BRANCH 

Vote 159 Branch Administration 54,800 00 

Expenditures 52,839 00 

Lapsed, $ 1,961 00 

Estim.ii Allotment- 

details authorized Expenditures 

A Salaries 45.200 00 45,200 00 44,S29 66 

B Supplies and Materials 3,500 00 3,500 00 3.185 97 

C Travelling Expenses 1,000 00 1,000 00 765 90 

D Telegrams, Telephones and Postage 1.600 00 1,600 00 1,148 50 

E Professional and Special Services 3,000 00 3,000 00 2.607 38 

F Miscellaneous 500 00 500 00 301 59 



$ 54.S00 00 S 54.S00 00 S 52,S39 00 
59727—14 



194 



AUDITOR GENERAL'S REPORT 
Comments on Expenditures 



A As of March 31, 1942, there were 21 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date: H. W. McGill, Director, $7,500; 
M. Christianson, $5,220; H. P. Johnson, $2,400; T. R. L. Maclnnes, $4,620; A. E. St. Louis, 
$3,000. 

E Legal fees accounted for $2,480.83 of this allotment. 



Vote 160 Indian Agencies 654,893 00 

Expenditures 630,435 46 

Lapsed $ 24,457 . 54 



Estimates 
details 

Salaries and Wages 370.175 00 

Cash Allowances 16,020 00 

Supplies and Materials 41,020 00 

Travelling Expenses 67,640 00 

Freight, Express, Cartage, etc 7,845 00 

Telegrams, Telephones, and Postage 15,845 00 

Professional and Special Services 7,335 00 

Meter Rates 5,542 00 

Rents 4,001 00 

Equipment Maintenance 42,390 00 

Repairs to Buildings, Roads, etc 31,627 00 

Miscellaneous 3,500 00 

Acquisition of Equipment 31,320 00 

Construction of Buildings and Works 10,633 00 



Allotments 




authorized 


Expenditures 


372,175 00 


387,671 55 


16,020 00 




44,020 00 


42,671 03 


67,990 00 


63,897 40 


7,845 00 


4,053 53 


15,845 00 


13,694 23 


5,335 00 


2,012 49 


5,542 00 


5,219 16 


4.001 00 


3,947 38 


42,390 00 


39,562 47 


31,777 00 


29,035 68 


7,000 00 


6,594 08 


28,320 00 


25,512 13 


6,633 00 


6,564 33 



$ 654,893 00 $ 654,893 00 $ 630,435 46 



Comments on Expenditures 

A As of March 31, 1942, there were 270 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date, or at date of separation: W. S. 
Arneil, $3,360; P. B. Ashbridge, $2,940; F. J. C. Ball, $3,180; A. H. Barber, $3,000; 
W. Barolet, $2,580 less $1,500 paid from Vote 162; F. X. L. Brisebois, $2,580; J. G. Burk, 
$3,180; J. D. Coldwell, $2,640; J. Coleman, $3,600; A. O. Daunt, $3,000; F. Edwards, $2,580; 
W. J. Ferguson, $2,940; J. Gillet, $3,120; A. G. Hamilton, $3,600; J. P. Harvey, $3,960 less 
$3,360 paid from Vote 162; P. W. Head, $4,020 less $3,420 paid from Vote 162; R. Howe, 
$2,520; D. McKay, $4,380; E. McPherson, $2,460; R. H. Moore, $3,060; G. C. Mortimer, 
$2,880; T. F. Murray, $3,220 less $1,180 paid from Vote 162; T. J. Orford, $4,380 less 
$3,780 paid from Vote 162; E. Randle, $3,600; T. F. H. Reed, $2,980 (Jan. 1); J. H. Riopel, 
$3,360 less $1,560 paid from Vote 162; F. M. Steel, $3,780; A. Strang, $2,580; C. P. Schmidt. 
$3,600; J. Thibault, $2,880; H. E. Taylor, $2,580; M. S. Todd, $2,580; W. A. M. Truesdell, 
$4,140 less $2,100 paid from Vote 162. 

B Cash allowances are added to salaries, the expenditure of A and B being shown under 
one total under A. In addition to cash allowances paid certain employees, many agents, 
clerks and farming instructors receive allowances in kind, that is, the Department 
furnishes house, fuel, light and rations. 

C This allotment is classified as follows: stationery and office supplies, $7,042.34; fuel, 
$19,291.26; forage, $5,279.88; provisions, $9,090.49; sundry, $1,967.06. 

D The travelling expenses in this allotment are the expenses of all Indian Agents, clerks, 
inspectors, etc. 

J Maintenance costs were paid as follows: Auto supplies and repairs, $19,931.96; farm 
equipment, $7,401.12; floating equipment, $6,798.64; light, heat and power, $5,350.96; 
sundry, $79.79. 

K Building repairs amounted to $8,589.78; road repairs, etc., $16,535.83; various materials, 
$762.46; labour, $2,378.26; travelling expenses, $486.79; sundry, $282.56. 



DEPARTMENT OF MINUS AND RESOURCES 195 

L [ncludes purchase of [and and buildings a1 Fori Alexander, Manitoba, from the Budson'e 
Bay Co., $3,500. 

M Included in this allotment are the following: farm equipment, $3,499.57; light, heal and 
power equipment, $3,134.72; lit • stock, $10,056.40; motor cars, $5,817.89; -mill floating 
equipmi ni. $1,585.89; sundry, $1,417.66. 



Vote 161 Reserves and Trusts — Administration 40,365 00 

Expenditures 32.697 49 

Lapsed $ 7,667 51 



Estimates Allotment- 

details authorized Expendil 

A Salaries and Wages 33,165 00 33,165 00 27,908 32 

B Travelling Expenses 1,500 00 1,500 00 80142 

C Acquisition of Land 1,000 00 1,000 00 433 00 

D Rents 700 00 700 00 598 50 

E Miscellaneous 1,000 00 1,000 00 615 28 

F Surveys 3,000 00 3,000 00 2,340 97 



$ 40,365 00 $ 40,365 00 S 32,697 49 



Comments on Expenditures 

This vote provides for the administration of Indian Reserves and the Indian Trust 
|und. The balance in the Trust Fund at March 31. 1942, was $14,642,289.97, an increase of 
$226,474.03 over the balance of $14,415,815.94 at March 31, 1941. Receipts during thi 
amounted to $1,409,777.93 and disbursements $1,183,303.90. 

A As of March 31, 1942, there were 14 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date: D. J. Allan, 84,620; J. Bradley, 
$3,000; J. C. Caldwell, $4,020; M. McCrimmon, $2,760. 

B Included in this allotment are the travelling expenses of M. McCrimmon, $321.10. 

F The expenditures in this allotment are as follows: wages, $484.55; surveyors' fees, 
$592.50; travel, $797.41; sundry, $466.51. 



Reserves and Trusts — Indian Annuities, Indian Act, Sec. 162, c. 98, R.S. 

Expenditures $ 262,127 00 



Comments on Expenditures 

Per capita annuities were paid as follows: 175 chiefs at S25; 372 headmen at 
47,676 Indians at So and 78 at $4. Upon being enfranchised 17 Indians received $100 each in 
pC6ordance with Sec. 14 of the Indian Act and 72 Indian women received $50 as commuta- 
tion of the annuity under Sec. 14. Payment of arrears amounted to SI ,388. 

To assist in the payment of the Robinson Treaty annuities, a granl of $6,800 from this 
Statutory Vote was made to the Trust Fund. The Province of Ontario repaid the sum of 
122,080 representing Treaty 9 annuities. 



Vote 162 Medical — Indian Hospitals and General Care of Indians .... 1,412,217 00 
Expenditures 1,334,588 52 



Lapsed $ 107,628 48 

59727- 14 j 



196 



AUDITOR GENERAL'S REPORT 



Estimates 
details 

A Salaries and Wages 208127 00 

B Cash Allowances 3,720 00 

C Supplies and Materials 141,000 00 

D Travelling Expenses 50,000 00 

E Freight, Express, Cartage, etc 4,400 00 

F Telegrams, Telephones and Postage 1,750 00 

G Professional and Special Services including 

Hospitalization 998,320 00 

H Meter Rates 3,300 00 

I Rents 1,500 00 

J Equipment Maintenance 5,000 00 

K Repairs to Buildings 6,600 00 

L Miscellaneous 8,000 00 

M Acquisition of Equipment 10,500 00 

N Structures and Parts 



Allotments 




authorized 


Expenditures 


225,627 00 


229,137 48 


3,720 00 




141,000 00 


137,594 69 


50,000 00 


43,367 13 


4,400 00 


3,391 02 


1,750 00 


1,748 59 


925,220 00 


839,846 67 


6,300 00 


6,285 82 


1,500 00 


1,383 40 


9,000 00 


8,426 83 


22,600 00 


19,241 25 


11,100 00 


5,021 56 


33,000 00 


32,989 08 


7,000 00 


6,150 00 



$1,442,217 00 $1,442,217 00 $1,334,588 52 



Comments on Expenditures 

The purpose of this vote is to provide for General Medical Services, including salaries 
to medical officers and nurses operating departmental hospitals and fees for professional 



A As of March 31, 1942, there were 253 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date, or at date of separation (shown in 
brackets): J. R. Atkinson, $3,900; W. S. Barclay, $4,440; W. Barolet, $2,580, less $1,080 
paid from Vote 160; C. Corrigan, $3,180; W. L. Falconer, $4,020, special allowance to cover, 
additional expenses and higher cost of living at Ottawa, $600; A. M. Hamel, $3,780; 
P. W. Head, $3,420 less $600 paid from Vote 160; J. Jamieson, $3,120 less $999.96 paid from 
Trust Fund; J. P. Harvey, $3,960 less $600 paid from Vote 160; J. A. McDonald, $2,400; 
P. E. Moore, $4,620; J. M. Morrow, $4,080; T. F. Murray, $3,220 less $2,040 paid from 
Vote 160; T. J. Orford, $4,380 less $600 paid from Vote 160; J. H. Riopel, $3,360 less 
$1,800 paid from Vote 160; A. B. Simes, $4,020; R. N. Simpson, $2,400; W. A. M. Truesdell, 
$4,140 less $2,040 paid from Vote 160; W. N. Turpel, $3,420 (June 12); J. J. Wall, $4,620 
(Sept. 17). 

B Cash allowances are added to salaries, the total expenditure being shown as one total 
under A. A number of employees receive in addition to salary, allowances in kind, that 
is the Department furnishes house, fuel, light and rations. 

C Medical supplies amounting to $40,524.88 were purchased through the Department of 
Pensions and National Health, $13,346.79 from the Western Chemical Industries, Ltd., 
and other sources, $15,814.89. Other items include clothing, $1,483.02; fuel, $12,411.17; 
provisions, $48,386.43 and sundry, $5,627.51. 

D Transportation of Indians to and from hospitals amounted to $27,135.47 of which 
$8,354.70 was for air travel. Travelling expenses of doctors and nurses amounted to 
$16,231.66 including air travel of $2,327.20. Head office officials, Dr. W. L. Falconer and 

" Dr. P. E. Moore were paid $113.40 and $1,128.43 respectively. 

G The following doctors received fees in excess of $1,000: M. G. Archibald, Kamloops, B.C., 
$2,400; G. L. Bell, Sioux Lookout, Ont., $1,770; E. D. R. Bissett, Pine Falls, Man., $1,800; 
H. A. Boyce, Deseronto, Ont., $1,805.58; J. P. Cade, Prince Rupert, B.C., $1,767.50; A. H. 
Campbell, Prince Albert, Sask., $2,004.71; G. H. Conroy, Edmonton, Alta., $3,185.50; 
G. L. & A. B. Cook, Lloydminster, Sask., $1,409.46; P. O. Coulombe, Sturgeon Falls, Ont., 
$1,500; J. P. Decosse, St. Paul, Alta., $2,003.17; C. Dumont, Campbellton, N.B., $1,200; 
A. C. Duncan, Dawson, Y.T., $1,100; J. D. Duncan, Leask, Sask., $1,297.30; H. E. Eckhardt, 
Shannonville, Ont., $1,315; S. P. Findlay, Fraser Lake, B.C., $1,200; W. H. G. Gibbs, Selkirk, 
Man., $1,807.75; J. C. Gillie, Fort William, Ont., $1,319.50; S. Golfman, Punnichy, Sask., 



DEPARTMENT OF MINES AND RESOURCES 197 

$2,000.01; T. C. BolmeB, Burn's Lake, B.C., $1,08956; W. J. Boughtling, Cold Lake, Alta., 
$1,96055; J. W. Kettleworth, Portage La Prairie, Man., $1,082.38; .!. A. , rdstoni 

Alt:,., $2,443; J. F. McCullough, Sudbury, Out.. $1,388.50; C. II. McGowan, North Bay] 
Ont., $1,235; S. II. McLeod, Calgary, Alta., $1,240; .1. E. Nunn, Battleford, Sask., $1,057; 
•I- Page, si. Benoit, Que., $1,245.95; J. R. Pare, Duck Lake, Sask., $1,076.50; .1. J 

- Ont., $2,100; G. II. Stobie, Belleville, Ont., $1,357; .1. A. Tallon, Cornwall, Onl \ 
50.08; Trimble & Brandt, The Pas, Man., $1,118.75; F. Walkin, 
E. Willis, Lakefield, Onl.. $1,453; J. B. T. Wood. High Prairie, Alta., $3,303. 
The following hospitals were paid fees in excess of $5,000: Bella Coola General, 
97; Brantford Sanitorium, Ont., $5,007.50; Bulkley Valley District, Smithers,' B.C.] 
>8; Canadian Red Cross, Ont., $7,88555; Central Alberta Sanitorium, Calgary, Alia.' 
70.56; Church of England, Moose Factory, Ont., $5,785; Dyncvor [ndian, St. I' 
Man., $23,87625; Fort William Sanitorium, Ont., 818,109.75; Lady Minto, Chapleau, Ont.[ 
L3; R. W. Large Memorial, Bella Bella, B.C., $11,083.65; Mountain Sanitorium, Hamil- 
ton. Ont., s:>.752.50; Muskoka, Gravenhurst, Ont., $6,900; Prince Rupert General, B.C., 
$5,132; Provincial Mental Hospitals, B.C., $13,625.25, Manitoba, $7,341.51, Ontario, $16,549.72,' 
itchewan, $9,3S7; Queen Alexandria Solarium, Victoria, B.C., $7,650; Roman Catholic 
:opal Corporation of MacKcnzie, Fort Resolution, N.W.T., $7,411.25, Port Simpson, 
N.W.T., S10,301; Roman Catholic Mission, Fort George, B.C., $5,547.50; Royal Inland, 
Kamloops, B.C., $6,659.50; St. Anthony's, The Pas, Man., $10,156.25; St. Bartholomew's^ 
Lytton, B.C., $5,631; St. Boniface, Man, $5,135.75; St. George's, Alert Bay, B.C., $5,768.20;' 
St. Joseph's, Victoria, B.C., $7,028.75; St. Paul's, Vancouver, B.C., $17,980.60; Sacred' Heart', 
Caughnawaga, Que., $12,078; Toronto Hospital for Tuberculosis, Weston, Ont, $13,099.05;' 
Victoria, London, Ont, $5,917.75; Whitehorse General, Y.T., $5,132.40; Wrinch Memorial' 
Hazelton, B.C., $20,760.50. 

K Under this allotment $6,614.19 was expended on repairs at the Coqualeetza Indian 
Hospital and $6,993.41 at the Fort William Reserve Hospital. 

M Hospital equipment amounting to $16,320.13 was installed in the Coqualeetza Hospital. 
Equipment for the Fort William Hospital cost $3,678.01 and $4,432.09 at Norway House. 
Sundry equipment purchased for the various hospitals makes up the balance of this 
allotment. 

N This allotment was authorized for the erection of a residence for the Medical Superin- 
tendent of Dynevor, Man, Indian Hospital at a cost of $6,150. 

Vote 163 Medical — Grants to Hospitals 4 S20 00 

Vote 494 Further amount required 3,580 00 



$ 7,900 00 
Expenditures $ 7,900 00 



Comments on Expenditures 

Grants of SI, 080 to the following hospitals in the Northwest Territories have been 
approved by the Governor in Council: Aklavik, C. of E.; Aklavik, R.C.; Fort Norman; 
Fort Simpson and Fort Smith. 

A srant of S2,500 to St. Joseph's Hospital, He a la Crosse was also paid on the under- 
standing that a like amount would be granted by the Province of Saskatchewan. 

Vote 164 Welfare and Training — Welfare of Indians 967,374 00 

Expenditures 707,356 83 

Lapsed $ 260,017 17 



198 



AUDITOR GENERAL'S REPORT 



A Salaries and Wages 

B Supplies and Materials 

C Travelling Expenses 

D Freight, Express, Cartage, etc 

E Professional and Special Services 

F Rents 

G Equipment Maintenance 

H Repairs to Buildings 

I Miscellaneous 

J Acquisition of Equipment 

K Construction of Buildings and Works. 

L Acquisition of Land 



Estimates 


Allotments 




details 


authorized 


Expenditures 


24,100 00 


24,100 00 


18,705 14 


775,849 00 


727,349 00 


537,582 30 


5,750 00 


5,750 00 


4,940 34 


24,345 00 


24,345 00 


20,263 58 


200 00 


200 00 


125 00 


2,650 00 


2,650 00 


1,320 70 


21,670 00 


21,670 00 


6,461 43 


24,335 00 


24,335 00 


16,638 25 


29,785 00 


34,285 00 


30,206 92 


29,300 00 


29,300 00 


17,148 89 


29,390 00 


29,390 00 


15,779 28 




44,000 00 


38,185 00 


$ 967,374 00 


$ 967,374 00 


$ 707,356 83 



Comments on Expenditures 

A As of March 31, 1942, there were 8 employees paid from this vote. The following 
were receiving salaries of $2,400 or over on that date: R. A. Hoey, $5,220; K. A. M. 
Moodie, $2,400; J. E. Morris, $2,520. 

B This allotment is divided as follows: Clothing, general, $53,629.88; triennial clothing 
issued to chiefs and headmen in accordance with Treaties, $6,754.34; forage, $698.17; fuel, 
$14,401.88; hunting and fishing supplies, $29,754.34; provisions, $418,666.72; seed, $11,253.78; 
stationery and office supplies, $414.65; sundry, $2,008.54. 

C Included in the travelling expenses are the following: K. Moodie, $789.80; Indians, 
$3,194.56. 

I This allotment includes burials, $11,038.59; care of indigents, $17,367.21; and sundry, 
$1,801.12. 

J This allotment is classified as follows: camp equipment, $2,997.24; farm equipment, 
$8,505.02; light, heat and power equipment, $1,082.31; live stock, $2,665.45; sundry, $1,898.87. 

L $27,885 was expended in acquiring land at Escasconi, Cape Breton Island and $6,300 at 
Shubenacadie for the purpose of amalgamating all Indian Agencies in Nova Scotia into 
two agencies. Additional land was acquired as an addition to the Lennox Island Reserve 
at Prince Edward Island at a cost of $4,000. 

Payments of over $5,000 from this Vote were made to the following: D. V. Allain, 
$6,765.34; J. H. Ashdown Hardware Co. Ltd., $10,339.67; Atlantic Trading Co. Ltd., 
$11,064.32; Canada Packers Ltd., $9,838.61; W. J. Fraser, $8,348.32; Hudson's Bay Co., 
$88,883.79; Macdonald's Consolidated Ltd., $15,816.84; Marshall Wells Ltd., $5,315.58: 
Province of Nova Scotia, $15,000. 

In addition to the above Vote the Indians were assisted in agricultural and handicraft" 
pursuits from the Indian Act Revolving Fund established June 24, 1938, by an amendment 
to the Indian Act. Under this amendment the Superintendent General is empowered 
to make loans to Indian Bands, groups of Indians or individual Indians under regulations 
established by the Governor in Council. The loans outstanding may at no time exceed 
$350,000. Since the inception of the Revolving Fund in 1938 to March 31, 1942, loans 
amounted to $55,462.38, interest, $3,959.71 and repayments, $36,409.07 leaving a balance 
outstanding at March 31, 1942, of $23,013.02. 



Vote 165 Welfare and Training — Indian Education 500,616 00 

Expenditures 475,338 90 

Lapsed $ 25,277 10\ 



DEPARTMENT OF MINES AND RESOURCES 



199 



Estimates 
details 

A Salaries and Wagea 291,326 00 

B Supplies and Materials 79,500 00 

C Travelling Expenses 11,000 00 

I) Freight, Express, Cartage, etc 4,000 00 

E Telegrams, Telephones and Postage 200 00 

V Professional and Special Services 4,200 00 

<; Meter Elates 2,000 00 

H Rents 5,000 00 

I Assistance to Ex-pupils 23,000 00 

J Equipment Maintenance 5,000 00 

K Repairs to Buildings 44,395 00 

L Miscellaneous 2,600 00 

31 Acquisition of Equipment 22,075 00 

N Construction of Buildings and Works .... 6,320 00 



Allot im ats 
:iut horized 

291,326 00 
79,500 00 

11,000 00 
3,000 00 
200 00 
5,200 00 
2,000 00 
5,000 00 

23,000 00 
5,000 00 

44,650 00 
2,600 00 

22,075 00 
6,065 00 



Expenditures 

286,189 64 
75,969 L3 

10,755 15 

1,568 22 
103 09 

5,020 50 
990 05 

4,880 16 
19,818 96 

3,738 12 
43,136 78 

2,515 50 
16,305 15 

4,357 55 



S 500,616 00 $ 500,616 00 $ 475,338 90 



Comments on Expenditures 

A As of March 31, 1942, there were 298 employees, chiefly school teachers, paid from this 
vote. The following were receiving salaries of $2,400 or over on that date: G. H. Barry, 
$2,460; A. J. Doucet, $2,520; P. N. L. Phelan, $4,080. 

B This allotment includes stationery and school supplies, $39,712.64; fuel for day schools, 
sj 1. 121.41; provisions, $6,235.29; sundry, $5,589.79. 

C Included in this allotment are the following travelling expenses: G. H. Barry, $812.27; 
A. J. Doucet, $911.04; Indian school children, etc., $9,032.14. 

I Tuition fees, etc., of Indian children attending high schools and colleges were paid from 
this allotment. 

M This allotment is made up as follows: educational, $9,590.46; recreational, $1,281.68; 
light, heat and power, $4,444.61 ; sundry, $988.40. 



Vote 166 



Welfare and Training — Grants to Residential Schools 1,398,944 00 

Expenditures 1,393,392 14 



Lapsed $ 5,551 86 



Estimates 
details 

A Wages— Night Watchmen 5,645 00 

B Per Capita Grants 1,371,249 00 

C Equipment Maintenance 1,000 00 

D Repairs to Buildings 14,100 00 

E Acquisition of Equipment 6,950 00 



Allotments 
authorized 

5,645 00 

1,371,249 00 

1,000 00 

14,100 00 

6,950 00 



Expenditures 

5,635 00 
1,371,228 39 

10,281 96 
6,246 79 



$1,398,944 00 S1,39S,944 00 SI, 393.392 14 



Comments on Expenditures 

B Per capita grants varying from $150 to S250 per annum were paid to the following 
schools operated by various church organizations: 

Nova Scotia: Shubenacadie, $25,918.40. 

Quebec: Fort George, C. of E., SS,029.34; Fort George, R.C., $3,874. 

Ontario: Albany, SI 1,26154; Cecilia Jeffrey, $23,298.75; Chapleau, S15,554.99; Fort Frances, 
S13.720.6S; Fort William, S14.020.40; Kenora, S13/720.6S; Mcintosh, S17,130.02; Mohawk 
Institute, S25,546.S0; Moose Fort, $19,266.97; Mount .Elgin, S20,993.57; Shingwauk, 
S19,054.13; Sioux Lookout, $19,501.55; Spanish, S39,202. 



200 AUDITOR GENERAL'S REPORT 

Manitoba: Birtle, $18,451.84; Brandon, $25,725.36; Cross Lake, $17,064.40; Elkhorn : 
$21,689.40; Fort Alexander, $16,949.10; Norway House, $16,996.94; Pine Creek, $19,370.32: 
Portage la Prairie, $15,334.84; Sandy Bay, $15,191.97. 

Saskatchewan: Beauval, $15,238.47; Cowessess, $14,527.74; Duck Lake, $29,055.60; 
File Hills, $14,941.92; Gordons, $18,538.08; Guy, $21,173.69; Lac La Ronge, $17,370.40; 
Muscowequan, $16,949.06; Onion Lake, C. of E., $15,103.20; Onion Lake, R.C., $19,923.76; 
Qu'Appelle, $41,508; Round Lake, $12,106.48; St. Phillips, $11,299.32; Thunderchild, 
$19,578.82. 

Alberta: Blood, $22,598.74; Blue Quills, $23,244.42; Crowfoot, $12,106.52; Edmonton, 
$19,385.98; Ermineskin, $25,744.42; Holy Angels, $7,827.78; Grouard, $14,933.30; Joussard, 
$18,772.24; Morley, $16,603.20; Old Suns, $14,317.36; St. Albert, $25,535.70; St. Cyprian, 
$8,071; St. Paul, $22,598.74; Sacred Heart, $8,071; Sturgeon Lake, $13,772.98; Vermilion, 
$9,891.58; Wabasca, C. of E., $6,125.19; Wabasca, R.C., $16,778.12; Whiteflsh Lake, $5,257.66. 

British Columbia: Alberni, $35,673.64; Alert Bay, $31,051.20; Cariboo, $20,421.90; Christie, 
$18,748.89; Kamloops, $47,319.08; Kitamaat, $2,421.30; Kootenay, $14,924.54; Kuper 
Island, $14,120.08; Lejac, $26,565.08; Port Simpson, $5,185.07; St. George, $36,593.55; St. 
Mary's Mission, $29,055.60; Sechelt, $13,282.54; Squamish, $9,961.88. 

Northwest Territories: Aklavik, C. of E., $8,648.84; Aklavik, R.C., $3,617.77; Fort 
Resolution, $10,250.61; Providence Mission, $11,490.57. 

Yukon: Carcross, $9,298.34; St. Paul's Hostel, $6,779.75. 
D E The following church-owned schools received grants approved by the Governor in 
Council for equipment and repairs: Aklavik, C. of E., $450; Aklavik, R.C., $746.10; Albany, 
$873.04; Cariboo, $299.37; Christie, $970.11; Ermineskin, $979.53; Fort Chipewan, $310; 
Fort George, C. of E., $300; Fort George, R.C., $730.21; Fort Resolution, $523.26; 
Grouard, $1.20; Joussard, $57.70; Moose Fort, $300; Providence, $838.50; St. Mary's 
Mission, $1,075; Spanish, $805.93; Squamish, $81.63; Sturgeon Lake, $5,331.10; Vermilion, 
$1.60; Wabasca, C. of E., $279.70; Wabasca, R.C., $1,132.82; Whitefish Lake, $400; Youville, 
$41.95. 

Vote 167 Welfare and Training — Grants to Agricultural Exhibitions 

and Indian Fairs, as detailed in the Estimates 6,870 00 

Expenditures 5,663 70 



Lapsed $ 1,206 30 



The purpose of this vote is to promote the Indians' interest in agricultural pursuits and 
handicraft work. 

Vote 168 Grants to provide additional services to Indians of British 

Columbia 100,000 00 

Expenditures 99,116 83 

Lapsed $ 883 17 



Estimates Allotments 

details authorized Expenditures 

A Salaries 6,420 00 

B Supplies and Materials 16,820 00 

C Travelling Expenses 3,400 00 

D Professional and Special Services 37,055 00 

E Equipment Maintenance 3,660 00 

F Repairs to Biuldings 5,450 00 

G Miscellaneous 2,500 00 

H Acquisition of Equipment 3,495 00 

I Construction of Buildings and Works 21,200 00 

J Medical Services 41,400 00 41,397 23 

K Agriculture and Stock Raising 30,000 00 29,993 24 

L Irrigation 18,600 00 17,731 33 

M Technical Education 10,000 00 9,995 03 



$ 100,000 00 $ 100,000 00 $ 99,116 83 



DEPARTMENT OF MINES AND RESOURCES 201 

Comments on Expenditures 

Treasury Board authorized the change in the Primary Allotments from the form set out 
in the Estimates details, as in the opinion of \}\<- Department, circuc red it 

desirable thai this vote should be administered and controlled by I ervices 

indicated by the Special Committee of Parliament al the time the vote was firsl provided. 

During the Session of 192G-27 a Special Committee of the Senate and House of 
Commons dealt with matters pertaining to Indians, more particularly with the policy 
adopted in the early days of paying annuities i<> individual Indians. Upon consideration of 
the changed conditions throughout the country, the Committee found that the need and 
usefulness of such per capita payments to Indians of British Columbia would be negligible, 
and recommended that, in lieu of payment to them such as allowed in other provini 
sum of 8100,000 should be expended annually on technical education, provision of hospitals, 
and medical attendance, and in the promotion of agriculture, stock-raising, and fruit 
culture, and in the development of irrigation projects. The recommendation of the Com- 
muter was approved by Parliament at the 1926-27 Session. 

J As of March 31, 1912, 2 employees were 1 paid from this allotment. Dr. A. L. McQuarrie 
ed $4,620 and H. E. Gerry, $1,800. Payment of $32,163.80 was made to various 
hospitals for care and maintenance of patients. Travelling expenses amounted to $2.2.57.10 
payable as follows: H. E. Gerry, $838.85; A. L. McQuarrie, SI, 343 .88; sundry, S74.43. 

K Payment of $4,919.74 was made to the Province of British Columbia on account of land 
acquired for certain Indian Bands in Stuart Lake Agency and Bella Coola Agency. 
$9,461.15 was expended on seed and the balance on farm equipment and repairs to 
buildings, etc. 

L The expenditures on irrigation projects in the various agencies were as follows: Kamloops, 
$4,584.08; Kootenay, $1,461.05; Lytton, $1,995.65; Nicola, $3,027.18; Okanagan, $1,980.14; 
Williams Lake, $795.49; sundry, $1,887.74. Salary of engineer W. C. Warren, $2,000. 

M Thirteen residential schools received a total of $5,944.82 for the services of manual training 
instructors. The balance was expended in the purchase of equipment and educational 
supplies. 

IMMIGRATION BRANCH 

Vote 169 Administration of the Immigration Act and the Chinese Immi- 
gration Act 164,030 00 

Expenditures 156,787 09 

Lapsed $ 7,242 91 

Estimates Allotments 

details authorized Expenditures 

A Salaries 152,630 00 152,630 00 149,954 98 

B Printing, Stationery and Office Equipment 6,000 00 6,000 00 4,244 S3 

C Travelling Expenses 1,500 00 1,500 00 634 00 

D Telegrams, Telephones, Postage 3,000 00 3,000 00 1,852 06 

E Sundries 900 00 900 00 101 22 



$ 164,030 00 $ 164,030 00 $ 156,787 09 



Comments on Expenditures 

A As of March 31, 1942, there were 78 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date, or at date of separation (shown in 
brackets): F. C. Blair, Director, $7,500; P. T. Baldwin, $3,240; E. A. Butler, $2,400; 
C. M. B. Chapman, $3,000; M. J. Cullen, $4,140; W. F. Gray, $2,940; A. L. Jolliffe. $6,000; 
F. A. Morgan, S3,000; W. H. Morgan, $3,000; R. N. Munroe, S4,500; E. A. O'Connor, 
$2,400; W T . C. Perron, $2,400; J. Prindiville, $2,400; M. J. Scobie, $3,000; A. J. Smith. S2,400; 
E. J. Steljes, $2,520; E. Usher, $2,400; H. W. Wilson, $3,480 (May 1. See also Vote 170). 

C Included in this allotment is living allowance in lieu of actual expenses for N. Pickering 
amounting to $540. 



202 



AUDITOR GENERAL'S REPORT 



Vote 170 Field and Inspectional Service — Canada 1,127,515 00 

Expenditures 1,044,329 07 

Lapsed $ 83,185 93 



Estimates 
details 

A Salaries and Wages 974,345 00 

B Living Allowances 1,170 00 

C Overtime 28,000 00 

D Printing, Stationery and Office Equipment 15,000 00 

E Travelling Expenses (Officers) 40,000 00 

F Travelling Expenses (Deports) 10,000 00 

G Uniforms 25,000 00 

H Telegrams, Telephones, Postage 14,000 00 

I Cost of Investigations by Soldier Settlement 500 00 

J Provisions re Detentions 1,500 00 

K Sundries 18,000 00 



Allotments 
authorized Expenditures 



974,345 00 

1,170 00 

28,000 00 

15,000 00 

40,000 00 

10,000 00 

25,000 00 

14,000 00 

500 00 

1,500 00 

18,000 00 



944,049 63 

1,077 07 

19,961 15 

13,714 00 

37,182 70 

4,874 67 

21,622 76 

11,950 81 

37 75 

* 24,975 41 

14,833 94 



$1,127,515 00 $1,127,515 00 $1,044,329 07 



* Credit amount. 



Comments on Expenditures 



A As of March 31, 1942, there were 490 employees paid from this vote, not including a 
number of seasonal employees and employees who were paid by shift and not by day or 
month. The following were receiving annual salaries of $2,400 or over on that date: 
O. G. Adams, $3,000; P. T. Baldwin, $3,240 (Jan. 1. See also Vote 169); W. J. Bambrick, 
$2,400; W. M. Beatty, $3,000; G. G. Congdon, $4,140; H. Crump, $2,400; H. M. Grant, 
$3,000; C. G. Greene, $3,000; N. C. Hebert, $2,880; A. M. Henderson, $2,400; H. A. Hunt, 
$2,400; J. A. D. Lalonde, $2,400; J. M. Langlais, $3,000; J. L. Malcolm, $3,000; C. H. 
Maxwell, $2,760; H. U. McCrum, $3,240; D. N. McDonell, $2,520; J. D. McFarlane, $2,400; 
L. J. McGinnis, $2,880; J. R. McNeill, $2,760; W. W. Robertson, $2,520; W. B. Rose, $2,520; 
C. E. S. Smith, $4,140; F. A. Smith, $2,400; F. W. Taylor, $3,720; G. F. Todd, $2,520; H. W. 
Wilson, $3,600. 

B The following emigration officers, resident in the United States, were paid a living 
allowance authorized by the Civil Service Commission; salary rate is shown in brackets: 
Boston, W. E. Bernhardt, $399 ($1,920); Seattle, W. F. S. Creery, $285 ($2,100); 
R. E. Fitzgerald, $285 ($1,800); D. McNamara, $108.07 ($1,800). 

C Overtime was paid to immigration officers in accordance with Section 86 of the Civil 
Service Regulations approved under Section 16 of the Civil Service Act. Officers entitled 
to overtime are those in receipt of an annual salary of less than $2,100. 

E The following immigration officers were paid $300 or more in travelling expenses and in 
living allowances in lieu of actual expenses; these expenses do not include railway fares 
as immigration officers as a general rule travel free: — O. G. Adams, $486.95; W. F. Beattie, 
$474.63; J. D. Beech, $699.70; W. E. Bernhardt, $392.48; J. A. Boulais, $1,130.63; 
G. J. Charette, $514; A. G. Christie, $396.31, included in this amount is $50 removal 
expenses; E. N. Christison, $1,062.10; J. J. Conway, $669.25; F. C. Crosman, $702.51; 
C. W. Desormeau, $857.57; L. Flower, $893.77; W. H. Foran, $1,215.50; W. J. Fraser, 
$411.68; A. Graham, $319.95; A. G. Greene, $603.61; A. H. Grevatt, $1,233.16; R. H. Guerin, 
$623.86; A. D. Harvey, $559.90; Thos. Howell, $1,163.65; G. W. Humphries, $629.15; 
"A. Jankiewicz, $745.44; C. G. Kilbreath, $414.06; B. Lapierre, $720; J. A. Lemieux, $617.97; 
F. McFarlane, $606.18; W. McFaul, $321.97; J. D. Mcllhargey, $744.63; J. L. Malcolm, 
$510.58; D. M. Morrison, $1,026.53; N. Pickering, $720; A. E. Pilkie, $814.75; E. Roberts, 
$860.67; W. W. Robertson, $978.50; W. B. Rose, $306.55; H. O. Saylor, $1,043.39; L. J. 
Scully, $426.36; J. B. Sibson, $418.96; C. E. S. Smith, $324.92; H. Souillard, $954.69; G. Todd, 
$375.77; F. O. Troy, $439.09; C. C. Wallace, $398; H. R. Wilson, $389.79. 

G The expenditure for uniforms is in accordance with Section 75 of the Immigration Act 
which directs that uniforms shall be supplied officers and one-third of the cost shall be 
paid by them. The expenditure shown under this allotment is the two-thirds of the cost 
of the uniforms. 



DEPARTMENT OF MINES AND RESOURCES 203 

J To this allotment is charged the cost, of catering service and canteen provisions supplied 
at the following ports; receipts from the sale of meals and from the per diem fee for the 
care of detained immigrants, etc., credited to this allotmenl are Bhowrj m brackets: 
Halifax, $19,104.45 (S33.S5S.07) ; Montreal, $5,851.64 ($12,591.76); Winnipeg, $3158 ($30j60); 
Vancouver, s:>,225.95 (SS/727.60) ; Victoria, S100.S3 (SS5.95) ; sundry ports, $4.32. The 
gross expenditure in this allotmenl is $30,318.57 and the total receipts arc $55,293.98, resulting 
m a credil balance of $24,975.41, as the salaries of cooks, waitresses, etc., are charged to 
Allotment A. 

K Included in this allotment are legal expenses of $942.80; also a grant of $1,000 paid to 
David C. Lamb of the Salvation Army in connection with his visit to Canada inquiring 
generally into Immigration matters. 

Audit Note 

Salary was paid to one employee whose employment was not authorized in accordance 
with the regulations. 

Vote 171 Field and Inspectional Service — Abroad 103,630 00 

Expenditures 84,476 09 



Lapsed $ 19,153 91 



Estimates Allotments 

details authorized Expenditures 

A Salaries and Wages 64,630 00 64,630 00 55,605 19 

B Living Allowances 6,400 00 6,400 00 3,979 65 

C Printing, Stationery and Office Equipment 2,100 00 2,100 00 774 60 

D Travelling Expenses 5,000 00 5,000 00 4,520 05 

E Rents, Taxes, Rates, Heat, etc 14,500 00 14,500 00 11,475 01 

F Telegrams, Telephones, and Postage .... 4,000 00 4,000 00 2,194 45 

G Sundries 7,000 00 7,000 00 5,927 14 



$ 103,630 00 $ 103,630 00 $ 84,476 09 



Comments on Expenditures 

The expenditures were charged as follows: Antwerp, $4,834.70; Gdynia, $469.83; Paris, 

$4,078; Glasgow, $202.44; London, $67,374.13; Hong Kong, $7,516.99. 

A As of March 31, 1942, there were 21 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date: W. H. Carey, $2,400; O. Cormier, 
$3,120; F. B. Cotsworth, $3,120; H. R. F. Dalby, $3,720; E. S. Doughty, $4,700; E. K. Hales. 
$2,700; W. R. Little, $5,700; J. A. Mitchell, $3,120; A. N. O'Kelly, $4,620. 

B Employees whilst resident abroad received the following payments which represent 
living allowances less a 10 per cent deduction effective Oct. 1, 1940, and less exchange 
adjustments: F. B. Cotsworth, 8433.17; H. R. F. Dalby, $433.17; E. S. Doughty, $824.32; 
W. R. Little, $1,076.07; J. A. Mitchell, $433.17; A. N. O'Kelly, $779.75. 

D Included in this allotment are the following travelling expenses: G. C. Congdon, living 
allowance in lieu of actual expenses, 245 days at $10 per day, removal expenses to 
England, S177.75; O. Cormier, $1,569.03; W. R. Little, $234.33; sundries, $88.94. 

E Included in this allotment are payments for office space, electric lights, etc., at Oceanic 
House, London, to Goddard and Smith, $7,323.83, and at Sackvillc House, London, to 
Sackville Investments, Ltd., $1,852.79. Also included is the cost of forming new offices, 
$4,658.39 less $4,470 received from the former tenants for assuming the unexpired portion 
of the lease. The $4,170 was credited to the vote rather than to Revenue. 

G Included in this allotment are the following amounts covering replacement of household 
goods and personal effects lost or abandoned due to the war. The payments were made as 
follows under Treasury Board authority in accordance with Order in Council 93/7354, 
Dec. 14, 1940; O. Cormier, S750; J. O. Matthews, $750 less previously paid SI 1.18; J. A. 
Mitchell, $1,000; A. O. Petersen, $S00 less previously paid S330.17; M. S. H. Thomas, 
$400; J. A. Trudelle, $120. 



204 AUDITOR GENERAL'S REPORT 

Audit Note 

The Commissioner of European Emigration, with headquarters at London, England, may 
be paid an allowance at the rate of $2,000 per annum. A decision was made to retire the 
Commissioner, and on September 28, 1941, he departed from London to return to Canada. He 
was placed in retiring leave status on November 16th. Attention is directed to the fact 
that, allowance $266.64 was paid to this officer in the period September 28 to November 16. 
In addition, all travel expense claims amounting to $234.33 were paid in the same period. 

Vote 172 Relief of Distressed Canadians — Outside Canada 10,000 00 

Expenditures 3,668 97 

Lapsed $ 6,331 03 



Comments on Expenditures 

This vote is to provide for the temporary assistance of Canadian born persons who 
became stranded in countries outside Canada. The expenses consist of ocean and railway 
tranportation back to Canada, temporary meals and lodging and occasionally small amounts 
in cash maintenance, while awaiting a sailing. As far as possible, the Department endeavours 
to obtain reimbursement of these expenses from the assisted person or from relatives. 
Refunds to the vote during the yea.v amounted to $1,462.28. 

PENSIONS AND OTHER BENEFITS 
Mrs. Doris Ryckman and children, Appropriation Act No. 6, c. 50, 1936.$ 690 00 



Vote 175 Mrs. Alice Morson Smith 600 00 

Expenditures $ 600 00 



Vote 176 Mrs. Elizabeth Swinford 600 00 

Expenditures $ 600 00 



SUPERANNUATION AND RETIREMENT BENEFITS 
Gratuities to families of deceased employees, Civil Service Act, c. 22, R.S. . $ 5,030 00 



Comments on Expenditures 

In accordance with the Civil Service Act two months' salary was paid to the families 
or estates of deceased employees. 

SPECIAL 
LANDS, PARKS AND FORESTS BRANCH 

Vote 177 National Parks Bureau — National Parks 299,500 00 



Vote 495 Further amount required 30,000 00 

329,500 00 
Expenditures 300,249 84 

Lapsed $ 29,250 16 



DEPARTMENT OF MINES AND RESOURCES 205 

Allotment- 
authorized Expenditures 

A Banff 178,760 00 167,763 65 

It Cape Breton Highlands 36,000 00 34,064 60 

C Jasper 76,440 00 65,215 13 

D Kootenay 6,300 00 6,22155 

E Waterton Lakes 32,000 00 26,965 01 



$ 329,500 00 S 300.219 84 



The amount of the above vote was not subdivided in the Estimates details, the allot- 
ments were authorised by Treasury Board. 

Comments on Expenditures 

The purpose of this vote is to provide for several special projects not included in 
the Maintenance Vote 143, namely: improvements on the Cabot Trail in Cape Breton 
Highlands Park; construction of buildings and roads in Jasper Park; additions to the 
Trans-Canada Highway in the Western Parks and improvements in the water supply at 
Waterton Lakes Park. 

Wages totalling $60,875 were paid from this vote and were in accordance with wage 
rates prevailing in the districts. 

Contract payments totalling $108,245 are included in the expenditure and were paid to the 
following: — Cape Breton Highlands Park: J. P. Porter and Sons Ltd., Montreal, P.Q., 
highway construction (unit prices) $5,652; Jasper Park, Dominion Bridge Co. Ltd., Winnipeg, 
Man. ($44,200) $46,153.03 less $8,500 paid in 1940-41; J. L. Moritz, Edson, Alta., erection 
Fish Hatchery building ($7,865) $631.35; Bituminous treatment of highways, Banff Park, 
E. R. Taylor Co. Ltd., Vancouver, B.C. (unit prices) $64,308.62. 

Also from this vote the following firms received 85,000 or over: British American Oil 
Co. Ltd., $10,754.54; Dominion Bridge Co. Ltd., Calgary, $16,020; Imperial Oil Ltd., 
S46.701.27; Timber Preservers, Ltd., $5,806.26. 

Travelling expenses of $300 and over include, R. R. Ross, $353.13. 

Vote 178 National Parks Bureau — Forest Conservation 40,000 00 

Expenditures 39,277 82 

Lapsed $ 722 18 

Allotments 

authorized Expenditures 

A National Parks 25,100 00 24,417 35 

B Dominion Forest Service 14,900 00 14,860 47 



$ 40,000 00 $ 39,277 82 



The amount of the above vote was not subdivided in the Estimates details, the allot- 
ments were authorized by Treasury Board. 

Comments on Expenditures 

This vote provides for silvicultural operations, for education in fire protection methods 
and for continuation of work on experimental plots in forest experiment stations and national 
parks. 

The expenditure is classified as follows: salaries and wages, $8, 126.32; travelling 
expenses, 81,018.47; fire-fighting equipment, S6.026.23; office supplies, $6,537.45; supplies, 
$5,730.04; express, freight and telephone, etc., $1,779.56; fire-fighting payment to Province of 
Saskatchewan, S1.S20.77; Forest Fire Prevention Essay. Ss.23S.98. 

The expenses of the Essay contest consisted of: advertising, S5,344.75 of which Cockfield 
Brown and Company received $5,331.75; 572 membership prizes in Canadian Forestry Asso- 
ciation, $1,144 and 130 in L 'Association Forestiere, S130; 84 radio sets, $1,274.26; travel 
expenses of winners to broadcasting stations, $345.97. 



206 AUDITOR GENERAL'S REPORT 

SURVEYS AND ENGINEERING BRANCH 

Vote 179 Development of Tourist Highways 13,000 00 

Expenditures 7,652 47 



Lapsed $ 5,347 53 

Allotments 
authorized Expenditures 

A British Columbia 12,500 00 7,366 97 

B Expenses of British Columbia-Yukon-Alaska Highway Com- 
mission (Canada) 500 00 285 50 



$ 13,000 00 $ 7,652 47 



The amount of the above vote was not subdivided in the Estimates details, the allot- 
ments were authorized by the Treasury Board. 

Comments on Expenditures 

A The expenditure of $7,263.07 authorized by Order in Council 5042 of July 9, 1941, 
consisted of a grant to the Province of British Columbia of 50 per cent of the total 
expenditure, $14,526.13, to assist in the completion of the King George VI Highway. 
Included in this allotment are travelling expenses, $103.90. 

Vote 180 Roads — Improvement to main tourist routes from the Inter- 
national Boundary to Banff, Yoho, Kootenay and Jasper 

Park (Revote) 11,000 00 

Expenditures 10,771 31 



Lapsed $ 228 69 



Comments on Expenditures 

The expenditure authorized by Order in Council 4692, June 27, 1941, consisted of a 
grant to the Province of British Columbia of 50 per cent of the total expenditure, $21,542.62. 

INDIAN AFFAIRS BRANCH 

Vote 181 Fur Conservation, and to authorize subject to the approval of 
the Governor in Council, the appointment of such extra 
temporary officers, clerks and employees as may be neces- 
sary for the purpose of this item 100,000 00 

Expenditures 71,055 42 

Lapsed $ 28,944 58 



Comments on Expenditures 

The expenditure was distributed as follows:— (1) Alberta, $12,147.33; (2) Quebec, 
$7,239.70; (3) Ontario, $2,881.72; (4) Manitoba, $29,147.28; (5) Saskatchewan, $12,412.82; 
(6) British Columbia, $380.80; (7) Head Office, $6,845.77. 

' The expenditure of $71,055.42 includes salaries of $17,571.07. As of March 31, 1942, there 
were 9 employees paid from this vote. The following were receiving salaries of $2,400 or 
over on that date: H. R. Conn, $3,000; W. K. Gordon, $2,700; J. L. Grew, $3,600. 

1. Dam, repairs at Murdock Creek, Wood Buffalo Park were carried out under the super- 
vision of the Department of Public Works. The expenditure on this project was $10,673.58. 

2. This includes salary of H. R. Conn, Resident Manager and Supervisor of the Peribonca 
Beaver and Fur Preserve the area of which has been extended to approximately 12,600 
miles under an agreement with the Province of Quebec. Expenses of Mr. Conn include 
travel, $1,978.83 of which $608.40 is for air travel. Payment of $339.25 was approved for 
the loss of personal effects of Mr. Conn in a forest fire on June 1, 1941. Wages totalling 
$1,095 are also included. 



DEPARTMENT OF MINUS AND RESOURCES 207 

3. Expenditures in Ontario consist chiefly of salaries and travelling experj 

1. $13,918.83 was paid bo the Province of Manitoba for expenditures incurred in connection 

with the Fisher Bay-Sturgeon Bay Muskral Rehabilitation Project. Other expenditures 

include salaries and wages, $9,463.17 and travel, $1,394.18. 
I, Expenditures consist chiefly of wages in connection with the Red Earth-Shoal Lake 

proji 
7 Head Office expenditures include the following: salaries, $5,630 28; travelling es 

D. J. Allan. $308.64; M. B. Lockwood, 8165.96, sundry, $193.15; removal i . J. L. 

Crew. S752.65 less $56750 paid 1940-41; office supplies, $5259. 

Vote 496 Repairs and Improvements to Government Buildings relating 

to Indian Medical Field Administration 7 ',565 00 

Expenditures 6,962 95 



Lapsed $ 602 05 



Allotment 

authorized Expenditures 
Coqualeetza Residential School — To provide additional funds for 
repairs and alterations required to convert the school 
into a hospital for Indian patients 8 7,565 00 $ 6,962 95 



Comments on Expenditures 

Alterations were carried out under contract awarded to the A. W. Cassidy Co., 
Vancouver. The contract was awarded at $62,543 with contingencies at $6,457. Payment of 
$61,534.48 was made in 1940-41 and $6,889.38 in 1941-42 completing the contract at a total 
tDfil of S6S.423.86. Travel and sundry expenses of $73.57 account for the balance of this 
expenditure. 

WRITE DOWN OF ASSETS 

Reduction of Assisted Passage Loans — Empire Settlement Advances, 

Farmers 7 Creditors Arrangement Act, c. 53, 1934 $ 96 94 



Comments on Expenditures 

This amount is one-half the write off under the Farmers' Creditors Arrangement Act in 
the loans of those migrants who settled on the land under the 3,000 Family Settlement, 
Scheme and who received assistance in the payment of transportation. The other one-half 
is the share of the Dnited Kingdom Government. 

The Assisted Passage Loan Account was examined and audited in accordance with the 
various agreements between the United Kingdom and Dominion Governments. The balance 
outstanding at March 31, 1942, was $118,000.12. 

Seed Grain and Relief Accounts — 

An Act respecting certain debts due the Crown, c. 51, 1926-27 58,406 84 

An Act respecting the transfer of the Natural Resources of Saskatche- 
wan, c. 41, 1930 1 00 



$ 58,407 84 



Comments on Expenditures 

The expediture of S5S.406.S4 is the amount written off the Principal outstanding in the 
Seed Grain and Relief Account, under authority of the Governor in Council. Extended 
reference has been made to this Account under Comments on Revenues, Public Lands. 

The expenditure of $1.00 represents the amount written off the Principal to offset 
Collections of that amount made by the Province of Saskatchewan and retained by the 
Province to meet expenses of collection. This is in accordance with Sec. 18 of the 
Saskatchewan Natural Resources Transfer Act. 



DEPARTMENT OF MUNITIONS AND SUPPLY 

REVENUES 

Summary 

1941-42 1940-41 

Ordinary Revenue — 

A Forfeitures 2,037 29 

B Rental of Buildings and Lands 1,065 00 

C Miscellaneous 89 75 

$ 1,154 75 $ 2,037 29 



Certified correct. 



B. G. McINTYRE, 

Comptroller of the Treasury. 



In accordance with the provisions of 
Section 45 (1) of the Consolidated Revenue 
and Audit Act, I have satisfied myself 
that the above revenues for 1941-42 have 
been fully accounted for. 



WATSON SELLAR, 

Auditor General. 

Special receipts on account of the war are shown in the War Expenditures section of 
this report. 

Details 

B Rentals of houses and lands at the Dominion Arsenals at Valcartier, P.Q., and Lindsay, 
Ont., the administration of which was transferred to this Department from the Depart- 
ment of National Defence on April 1, 1941. 



APPROPRIATIONS AND EXPENDITURES 

A total of $277,131,618.86 was allotted to the Department from the War Appropriation, 
to which was added $286,964.75 by transfer from the Department of Transport. Expenditures 
thereunder, amounting to $277,348,649.13, are shown in the War Expenditures section of 
this report. In addition, $12,000, provided by continuing statutes, was also expended. 

No. of 
Vote Services Appropriations Expenditures 

Statutory Salary of Minister, Salaries Act, c. 182, R.S., as 

amended by c. 7, 1939 10,000 00 10,000 00 

Statutory Motor Car Allowance to Minister, Appropriation Act, 

No. 5, c. 61, 1931 2,000 00 2,000 00 

Total Ordinary Expenditures $ 12,000 00 $ 12,000 00 



208 



DEPARTMENT OF NATIONAL DEFENCE 

REVENUES 

Summary 



1941-42 1940-41 



Ordinary Revenue — 

Militia Pensions Act, 1901 

Royal Military College 

Northwesl Territories and Yukon Radio Services 
Casual Revenue: 

Army 

Navy 

Air 

Fines and Forfeitures 



Less credited in error to Special War Revenues. 



288,769 11 

8.000 00 

29,946 21 

1,554,621 68 

10,328 64 

19,307 14 

384 00 


303.377 48 
14,599 00 

23,999 89 

54.2 

7.090 57 

16,502 82 

10 00 




419,818 61 
32,598 35 


$1,911^56 78 


S 387,220 26 



The increase in 1941-42 Army casual revenue over the 1940-41 figure, is due to a sale of 
weapons to the United Kingdom Government in 1940, the charge for which was made in 
this fiscal year. 

Details 
Militia Pensions Act, 1901 — 
Contributions: Army, $184,619.41 Navy, $21,480.11; Air, $82,669.59 288,769 11 

Royal Military College — 
Fees 8,000 00 

Northwest Territories and Yukon Radio Services — 
Traffic Revenue 29,946 21 

Casual Revenue — 

Army: sale of stores, salvage and government properties, $1,547,442.83; rents 
$6,133.23; refunds of previous years' expenditure, S693.61; miscel- 
laneous, $352.01 1,554,621 OS 

Navy: sale of stores and salvage, $9,025.92; rents, S282.27; miscellaneous, 

SI, 020.45 10.328 64 

Air: commission on pay phones, $16,615.69; refunds of previous years' 

expenditure, $2,691.45 19,307 14 

Fines and Forfeitures — 
Militia Act 384 00 



SI, 91 1.356 78 



In accordance with the provisions of 

Certified correct. - ion 45 (1) of the Consolidated Revenue 

and Audit Act, I have satisfied myself that 
B. G. McINTYRE, the above revenues for 1941-42 have been 

Comptroller of the Treasury. fully accounted for. 

WATSON 8ELLAR, 
A lit or General. 
209 



210 



AUDITOR GENERAL'S REPORT 



APPROPRIATIONS AND EXPENDITURES 

A total of $366,891.36 was available for expenditure on account of the Department of 
National Defence, of which $298,250.42 was provided in the annual appropriation acts and 
$68,640.94 was authorized by continuing statutory provisions. Expenditures were $265,447.59 
for the fiscal year 1941-42, an increase of $19,063.48 over the 1940-41 expenditures of 
$246,384.11. 

In addition, a total of $1,033,161,396.14 was allotted to the Department from the War 
Appropriation. Expenditures thereunder, amounting to $1,011,185,615.71, are shown in the 
War Expenditures section of this report. 

No. of Services Appropriations Expenditures Lapsed 

Vote 

Statutory Salaries of Ministers, Salaries Act, 

c. 182, R.S 30,000 00 30,000 00 

Statutory Motor Car Allowances to Ministers, 

Appropriation Act No. 5, c. 61, 

1931 6,000 00 6,000 00 

NORMAL SERVICES 
182] 

428 } Cadet Services 218,000 00 151,837 03 66,162 97 

183) Grants to Military Associations and 
429{ Institutes, as detailed in the 

Estimates 34,225 00 12,350 00 21,875 00 

184 Miscellaneous Maintenance and 

Adjustments— War of 1914-18 
(Formerly Adjustment of War 
Claims) 20,480 00 16,224 01 4,255 99 

185 Battlefields Memorials 14,680 00 5.577 89 9,102 11 

186) 

430{ Book of Remembrance 8,400 00 8,352 30 47 70 

PENSIONS AND OTHER BENEFITS 

Civil Pensions — 

187 Robert Allen 269 52 269 52 

188 Walter Pettipas 515 90 515 90 

189 Florence Walker 360 00 360 00 

190 Arnold Truman Townsend 420 00 420 00 

191 Michael Mountain 420 00 420 00 

192 Mrs. Alice Smuck 480 00 480 00 

Statutory Annuity to the widow of the late 

Hon. Norman McLeod Rogers, 

c. 47, 1940 2,499 96 2,499 96 

Statutory Aid to Civil Power — Militia Act. 

c. 1932, R.S 5,701 57 5,701 57 

Statutory Refunds of Previous Year's Rev- 
enue — Consolidated Revenue and 
Audit Act, c. 27, 1931 . . '. 22,759 41 22,759 41 

SUPERANNUATION AND RETIREMENT 
BENEFITS 

Statutory Gratuities to families of deceased 
employees — Civil Service Act, 
c. 22, R.S 1,680 00 1,680 00 

Totals $ 366,891 36 $ 265,447 59 $ 101,443 77 



Certified correct. 



B. G. McINTYRE, 

Comptroller of the Treasury. 



These accounts have been examined and 
audited under my direction, in accordance 
with the provisions of the Consolidated 
Revenue and Audit Act, and subject to the 
observations in this report, I certify that 
in my opinion they are correct. 

WATSON SELLAR, 

Auditor General. 



DEPARTMENT OF NATIONAL DEFENCE 211 

Salaries of Ministers, Salaries Act, c. 182, R.S $ 30,000 00 



Motor Car Allowances to Ministers, Appropriation Act No. 5, c. 61, 1931. .$ 6,000 00 



The Hon. J. L. Ralston, Minister of National Defence, the Bon. A. L. Macdonald, 
Minister of National Defence for Naval Services, and bhe Hon. C. G. Power, Miniri 
National Defence for Air, wen- each paid salaries of $10,000 and motor car allowam 

NORMAL SERVICES 

Votes 182) 

and 428 ] Cadet Services 218,000 00 

Expenditures 151,837 03 

Lapsed $ 66,162 97 

Estimates Allotments 

details authorized Expenditures 

Stenographers 2,820 00 3,010 56 

Wages 600 00 435 50 

A Total Salaries and Wages 3,420 00 3,495 00 3,446 06 

B Pa v and Allowances, all ranks 80,700 00 80,700 00 62,629 37 

C Other Allowances 64.000 00 64,000 00 60.862 10 

D Transport and Travel 26.650 00 26,650 00 13,600 38 

E Stores and Equipment 26,500 00 26,500 00 8,931 38 

F Sundries 16,730 00 16,655 00 2,367 74 

$ 218,000 00 S 218,000 00 $ 151,837 03 



Comments on Expenditures 

Expenditures charged to these votes are in connection with school cadet corps, and 
include the cost of cadet instructors' courses. The lapse of 866,162.97 is partly due to 
program commitments which were carried into the 1942-43 fiscal year. 

B The pay and allowances of cadet officers and physical training instructors. 

C These consist of cadet corps instructors' allowances, 854,682.60, and signallers' gratuities 
and bonuses, 86,179.50. Cadet corp instructors' allowances were at the rate of SI per annum 
for each enrolled senior cadet present at the annual inspection. 

D The travelling expenses of inspecting officers make up the main part of this item. 

E Includes $5,390.62 for food at cadet camps. 

F Consists chiefly of freight, express and cartage, printing and stationery, telephones, 
g ams and postage. 



Votes 183) 

and 429 j Grants to Military Associations and Institutes 34,225 00 

Expenditures 12,350 00 



Lapsed $ 21.875 00 



enditures 
Rifle Associations: 

Dominion of Canada . . . 
University and Local 

Ontario * 

Quebec 

Nova Scotia 



Esl imatea 


Allotments 


d< tails 


authorized 


7,500 00 


7.500 00 


2.000 00 


2.000 00 


2.700 00 


2,700 00 


800 00 


800 00 


500 00 


500 00 



212 



AUDITOR GENERAL'S REPORT 



Rifle Associations: — Cone. 

New Brunswick 

Prince Edward Island 

Manitoba 

British Columbia 

Alberta 

Saskatchewan 

Service Associations: 

Cavalry 

Artillery 

Engineers 

Signals 

Infantry, Machine Guns and Tank 

Army Service Corps 

Army Medical Corps 

Military Associations and Institutes: 

Canadian, Toronto 

Royal Military College Club of Canada 

Western, Winnipeg 

Alberta, Calgary 

United Services, Vancouver 

United Services, Regina 

United Services, Saskatoon 

Nova Scotia, Halifax 

United Services, Vancouver Island, Victoria 

United Services, Ottawa 

United Services, Quebec 

United Services, Moose Jaw 

United Services, New Brunswick, Saint John 

Military Institute, London 

Military Institute, Edmonton 

Military Institute, Kingston , 

Military Institute, Charlottetown 

United Services, Montreal , 



Estimates 


Allotments 




details 


authorized 


Expenditures 


400 00 


400 00 




300 00 


300 00 




500 00 


500 00 




500 00 


500 00 




400 00 


400 00 




400 00 


400 00 




1,500 00 


1,500 00 




4,000 00 


4,000 00 




1,000 00 


1,000 00 




1,500 00 


1,500 00 




3,000 00 


3,000 00 




1,000 00 


1,000 00 




1,000 00 


1,000 00 




2,000 00 


2,000 00 


1,000 00 


200 00 


200 00 


100 00 


250 00 


250 00 


250 00 


250 00 


250 00 


250 00 


250 00 


250 00 




250 00 


250 00 




150 00 


150 00 




250 00 


250 00 


250 00 


150 00 


150 00 


150 00 


250 00 


250 00 




250 00 


250 00 




150 00 


150 00 




l 125 00 


125 00 




150 00 


150 00 


150 00 


100 00 


100 00 




100 00 


100 00 




100 00 


100 00 




250 00 


250 00 




$ 34,225 00 


$ 34,225 00 


$ 12,350 00 



Comments on Expenditures 

These grants were for the purpose of encouraging rifle shooting, assisting rifle associa- 
tions in defraying expenses of annual prize meetings and assisting military associations. 

The comparatively large lapse of funds voted results chiefly from some associations 
not rendering claims in time for payment within the fiscal year. 



Vote 184 Miscellaneous Maintenance and Adjustments — War of 1914-18 20,480 00 
Expenditures 16,224 01 



Lapsed $ 4,255 99 



Estimates 
details 

A Temp6rary Assistance 4,978 00 

B Purchase and Erection of Headstones in 

Canada 13,500 00 

C Sundries 2,002 00 



Allotments 
authorized Expenditures 



5,133 00 

13,279 00 
2,068 00 



5,127 52 

9,816 82 
1,279 67 



$ 20,480 00 $ 20,480 00 $ 16.224 01 



DEPARTMENT OP NATIONAL DEFENCE 213 

Comments on Expenditures 

This granl (formerly Adjustment of Wax Claims) was provided to meet certain expenses 
arising from the War of 1914-1918, including headstones on graves in Canada of ex-members 
of His Majesty's Forces, war medals and decorations, and expenses of 'the Military Museum 
Board. 
A This consists mainly of Military Museum Board salaries and a portion of the salary of 

Col. II. C. Osborne Secretary of the Canadian Battlefields Memorials Commission (see 

Battlefields Memorials, Vote 185). 
C Includes war medals and decorations, $601.74, and stores and equipment, $517.81. 

Vote 185 Battlefields Memorials 14,680 00 

Expenditures 5,577 89 

Lapsed $ 9,102 11 

Estimates Allotments 

details authorized Expenditures 

Temporary Assistance 2,200 00 2,199 96 

Wages 2,000 00 

Total Salaries and Wages 4,200 00 4,200 00 2,199 96 

Pay and Allowances 6,480 00 6,480 00 3,225 00 

Operating Expenses of Properties 1.500 00 1,500 00 

Repairs and Upkeep of Buildings and Works 1,500 00 1,500 00 

Sundries 1,000 00 1,000 00 152 93 



$ 14,680 00 $ 14,680 00 S 5,577 89 



Comments on Expenditures 

The grant for Battlefields Memorials was provided to meet expenses in connection with 
the Canadian battlefields memorials in France and Belgium. A large part of the grant lapsed 
at the fiscal year end, as shown above, expenses being almost entirely for the remuneration 
of administrative officials. 

Col. H. C. Osborne, Secretary of the Canadian Battlefields Memorials Commission, 
was paid a salary of SI, 500 from this Vote and $1,500 from Vote 184. In addition, he was 
paid $2,400 in connection with the Imperial War Graves Commission, which was charged 
to the United Kingdom Government. A. L. Watson, Secretarial Assistant, was paid S699.96 
from this Vote and $3,600 which was charged to the United Kingdom Government in con- 
nection with the Imperial War Graves Commission. 

The item, Pay and Allowances, was provided for Major D. C. U. Simson, R.C.E., 
Supervisor of Memorials, but his full pay and allowances were not charged to this Vote. 
The amount of $3,225 shown above represents only his assigned pay. 

Votes 186\ 

and 430 ) Book of Remembrance 8,400 00 

Expenditures 8,352 30 

Lapsed $ 47 70 



Comments on Expenditures 

Remuneration of the artist in charge of the work and his assistants, amounted to 
S7.921.43. Alan Beddoe, artist in charge, received S3,600. 



PENSIONS AND OTHER BENEFITS 



Votes 187 to 192 Civil Pensions 2,465 42 

Expenditures $ 2,465 42 



214 AUDITOR GENERAL'S REPORT 

Vote Pensioner Appropriations Expenditures 

187 Robert Allen , 

188 Walter Pettipas 

189 Florence Walker 

190 Arnold Truman Townsend 

191 Michael Mountain 

192 Mrs. Alice Smuck 



269 52 


269 52 


515 90 


515 90 


360 00 


360 00 


420 00 


420 00 


420 00 


420 00 


480 00 


480 00 



% 2,465 42 $ 2,465 42 



Annuity to the widow of the late Hon. Norman McLeod Rogers, c. 47, 

1940 $ 2,499 96 



Aid to Civil Power — Militia Act, c. 132, R.S $ 5,701 57 



Comments on Expenditures 

This expenditure was authorized from the Consolidated Fund by P.C. 51/6961 of 
August 6, 1942, and represents the cost of calling out troops to assist the civil authorities. 
The Department of Justice advised that the Dominion has no valid claim against the 
Province in the matter. 



Refunds of Previous Year's Revenue $22,759 41 



Comments on Expenditures 

The above refund effects the transfer to a suspense account of Militia Pensions Act 
contributions by Royal Air Force personnel on loan to Canada, which were credited in error 
to Militia Pensions Act revenue in 1940-41. 



SUPERANNUATION AND RETIREMENT BENEFITS 

Gratuities to families of deceased employees — Civil Service Act, c. 22, R.S.. .$ 1,680 00 



DEPARTMENT OF NATIONAL REVENUE 

The Departmenl is administered by the Minister of National Revenue and cor 
of three Divisions, namely, "Customs", "Excise" and "Income Tax", over each of which 
a Commissioner presides. 

The Customs Division is charged with the administration of the Customs Act, c. 42, 
R.S. (as amended), the collection of duties in accordance with the Customs Tariff Act, c. 44, 
R.S. (as amended), and the supervision or control of goods, the importation or exportation 
of which is regulated, restricted or prohibited. 

The Excise Division is charged with the administration of the Excise Act, c. 52, 
193! iided), and parts of the Special War Revenue Act, c. 179, R.S. (as amended), 

and the collection of duties and taxes imposed thereunder. 

The Income Tax Division is charged with the administration of the Income War Tax Act, 
c. 97, R.S. (as amended), the Excess Profits Tax Act, c. 32, 1940, (as amended), and the 
Dominion Succession Duty Act, c. 14, 1941, and the collection of the taxes imposed thereunder. 
Under agreements (extant prior to March 15, 1942) with the Governments of the respective 
provinces and the Yukon Territory, the Commissioner of Income Tax administered, in so 
far as income taxes were concerned, the following Acts and Ordinance: the "Income and 
Personal Property Taxation Act of Prince Edward Island", the "Income Tax Act of Quebec", 
the "Income Tax Act of Ontario", the "Income Tax Act of Manitoba" and the "Income 
Tax Ordinance of the Yukon Territory"; he was also charged with the control, manage- 
ment and collection of income taxes and the relative penalties, etc., imposed thereunder. 
Moneys received on behalf of the respective Governments were paid over to them at desig- 
nated periods, and the costs of collection contributable by them were fixed by mutual agree- 
ment each year. Under the terms of the Dominion-Provincial Taxation Agreement Act, 
c. 13, 1942, which came into force on March 15, 1942, the Governor in Council is authorized 
to enter into agreements with the Governments of the Provinces of Canada respecting the 
vacation by the provinces of the personal income and corporation tax fields for the duration 
of the war. 

REVENUES 

Summary 

1941-42 1940-4 1 

Ordinary Revenue: — 
Customs and Excise Divisions: 

Customs Import Duties 142,392,232 57 130,757,010 70 

Excise Duties 110,090,940 35 88,607,558 90 

Excise Taxes 453,425,105 53 284,167,031 50 

Miscellaneous Revenue 414,637 76 422,412 47 

503,954,013 57 
Fines and Forfeitures 98,441 96 *4,124 35 

706421^58 17 603,949,889 22 
Income Tax Division: 

Income Taxes 510,243,016 49 248,143,021 61 

Excess Profits Tax 135,168,344 91 23,995,26S 63 

Succession Duties 6,956,574 19 

Miscellaneous Revenue 124,323 03 183.112 16 

Fines and Forfeitures 547 50 685 50 

652,492,806 12 37 90 

Total $1,358,914,164 29 S776.271,977 12 



* The sum of $4,124.35 is the amount by which expenditures in respect of "fines and forfeitures" exceeded 
the revenue from this source. 

215 



216 AUDITOR GENERAL'S REPORT 

The increase of $582,642,187.17 in the revenues for 1941-42 is accounted for chiefly by a 
general increase in collections, by increases in the rates of tax applicable, and by imposition 
of the Dominion taxes on gasoline, amusements, soft drinks and transportation, and 
Dominion succession duties. 

Details 

Customs and Excise Divisions 

A(l) Customs Import Duties 161,939,187 78 

(2) Less drawbacks, $16,402,838.78, and refunds, $3,144,116.43 19,546,955 21 

142,392,232 57 



B(l) Excise Duties: Spirits (including validation fees, 
$416,575.72), $21,018,242.48; beer, $414,018.60; malt, 
$25,241,291.31; malt syrup, $102,729.84; cigars, 
$597,487.79; cigarettes, $54,245,843.83; tobacco, manu- 
factured, $9,860,724.58, Canadian raw leaf, $345,899.30; 

licences, $39,336 111,865,573 73 

(2) Less, drawbacks, $1,217,472.87, and refunds, $557,160.51. . 1,774,633 38 



110,090,940 35 



C(l) Excise Taxes: Amusement tax (including tax on pari- 
mutuel bets, $1,081,808.01), $8,792,168.90; embossed 
cheques, $339,881.20; revenue stamps — including (i) 
stamp duties on cheques, bills of exchange, promis- 
sory notes, receipts to banks, money orders, travellers' 
cheques, and (ii) stock transfer tax, $4,552,988.88; 
sales tax, $246,553,265.80; special import tax, 
$860,812.21; transmission tax, $2,145,308.44; trans- 
portation tax, $5,986,020.55; war exchange tax, 
$100,873,982.24; manufacturers' taxes, automobiles, 
$13,677,502.73, cameras, $163,078.99, carbonic acid 
gas, $302,281.20, cigars, $333,391.07, cigarette papers 
and tubes, $3,947,766.35, electrical and gas appli- 
ances, $8,469,911, gasoline, $24,752,396.02,' lighters, 
$194,647.95, matches, $2,571,511.33, phonographs, 
radios and tubes, $2,361,036.89, playing cards, 
$377,014.66, rubber tires and tubes, $3,064,672.84, slot 
machines, $33,914.72, soft drinks, $6,246,618.25, sugar, 
$22,009,038.87, toilet preparations and soaps, 
$3,539,327.86; wines, $1,444,915.48; interest, $99,718.84; 

licences, $72,184.50; miscellaneous, $29,468.44 463,794,826 21 

(2) Less, drawbacks, $4,852,224.09, and refunds, $5,517,496 59 10,369,720 68 

453,425,105 53 

D Miscellaneous Revenue Collections: Advance in 

1940-41, in respect of removal expenses, from London, 
England, to Ottawa, of Investigator of Values R. A. 
Burdett, accounted for, $1,390.86; bonded factory and 
warehouse fees, $114,944.50; brokers' licences, $7,930; 
cartage, $22,840.79; copies of manifests, entries and 
invoices, $5,602.07; export permits, $6,163.57; extra 
or overtime services, $177,543.80; landing certificates, 
$3,326.50; law stamps, $5,582.65; rentals of buildings, 
$5,619.74; repayments of, salaries and living allow- 
ances of certain officers stationed in the United 
States, $22,726.74, and salaries of officers temporarily 
attached to the Foreign Exchange Control Board, 
' $13,830; storage charges, $24,074.28; sundry, $3,062.26 414,637 76 

E Fines and Forfeitures: Customs seizures, $175,826.20; 

excise seizures, $82,694.39 258,520 59 

Disbursements 160,078 63 

98,441 96 

706,421,358 17 



DEPARTMENT OE NATIONAL REVENUE 217 

Income Tax Division 

F(l) Income Taxes: Individuals, $189,501,795.15; corpora- 
tions, $185,S35,699.20; non-resident tax, $26,642,105.82; 
rentals and royalties tax, $1,626,669.12; national 
defence tax, $106,636,747.20 510,243,016 49 

(2) Excess Profits Tax 135,168,344 91 

(3) Succession Duties 6,956,574 19 

(4) Miscellaneous Revenue Collections: Costs of collection 

recovered in respect of Provincial Income Taxes, 
$118,782.49; law costs, $3,034.01; refunds of previous 
year's expenditure, Advertising Agencies of Canada 
(War Finance Advertising Group), $426.19, Canadian 
Bankers' Association, $2,053.29, sundry, $1.94; sale 
of waste paper, $25.11 124,323 03 

(5) Fines and Forfeitures 547 50 

652,492 J806 12 



$1,358,914,164 29 



Certified correct, as to: — 
Customs Division, 

H. D. SCULLY, In accordance with the provision of 

Commissioner. Section 45 (1) of the Consolidated Revenue 

Excise Division, and Audit Act, I have, subject to the 

D. SIM, appended audit note, satisfied myself that 

Commissioner. the above revenues for 1941-42 have been 

Income Tax Division, fully accounted for. 

C. F. ELLIOTT, WATSON SELLAR, 

Commissioner. Auditor General. 

Note :— The refunds shown in the foregoing statement do not include duties and taxes which 
have been remitted during the year, under Section 33 of the Consolidated Revenue 
and Audit Act, c. 27, 1931, and under Section 3 of The War Measures Act, 
c. 206, R.S., to which reference is made below. 

Comments 

A(l) C(l) As a guarantee of payment of duties and taxes (which it was found inex- 
pedient to collect at time of importation) and of sales and excise taxes (payable by 
licencees) securities are deposited with the Department, who, in turn, place them with 
the Department of Finance for safekeeping. At March 31, 1942, the securities so deposited 
were $1,090,500 for customs purposes and S2,21 1,000 for excise purposes. 

A(2) Drawbacks and Refunds, $19,546,955.21. These consist of home consumption draw- 
back claims, $2,807,403.61, export drawback claims, $13,595,435.17, and other refunds of 
customs duties, $3,144,116.43. 

B(2) C(2) Drawbacks and Refunds— Excise duties, $1,774,633.38 and excise taxes, $10,369,- 
720.68. The excise duty drawbacks related chiefly to spirits sold and delivered to uni- 
versities or scientific and research laboratories for scientific purposes, only, or to bona fide 
public hospitals for medicinal purposes, only. The excise tax drawbacks related chiefly 
to materials, both domestic and imported, used in the manufacture of goods exported. 

C(l) The sum of $463,794,826.21 was apportioned as follows: domestic, $327 346137 98' 
importations, $136,448,688.23. 

A ^^ B( - 2 ) C( ^ 2 ) The Allowing refunds and remissions were authorized under the provisions 
of Section 33 of the Consolidated Revenue and Audit Act and Section 3 of the War 
Measures Act: 

(1) Refunds of $92,889.30, which are included in the foregoing $3,144,116 43 $1774 633 38 
and S10,369,720.6S; 

59727—15 



218 



AUDITOR GENERAL'S REPORT 



(ii) Remissions of $3,863,747.64, including $3,830,908.08 for customs duties, excise duties 
and excise taxes, and $32,839.56 for penalties, interest, Exchequer Court costs, etc. 
Of the $3,830,908.08 for customs duties, etc., $2,233,637.19 was remitted to the Sugar 

Administrator, being a reduction of 75c. (per 100 lbs.) in the rate of duty ordinarily 
payable on certain importations of raw sugar, and $923,420.01 and $441,122.09 were 
remitted to the Department of Munitions and Supply and the Shell Oil Co. of 

Canada, respectively, with respect to munitions and oil imported in replacement 
of equivalent quantities of similar goods shipped to the United Kingdom. 

Those who were granted refunds and/or remissions of $1,000, or more, and the sums 
refunded and/or remitted in each case, are as follows: — 

Refunds Remissions 

Associated Screen News, Ltd $ 2,943 54 $ 23,073 54 

Ayerst, McKenna and Harrison 1,472 76 5,974 51 

British American Ambulance Corps Committee 15,693 59 

Butler, Duncan 1,220 61 

Canada Cycle and Motor Co., Ltd 2,034 20 

Canadian Canners Ltd 6,315 04 

Canadian Cod Liver Oil Co., Ltd 9,658 82 

Canadian Power Boat Co., Ltd 3,055 96 

Canadian Red Cross Society 13,712 50 

Carpenter, W. R., Co., Ltd 7,420 25 10,680 81 

Collet Freres Ltee 5,995 66 

Dominion Bridge Co., Ltd 1,540 88 

Dominion Textile Co., Ltd 4,727 04 

Dominion Vinegar Co 1,668 80 

Dyson's, Ltd 1,787 19 6,100 89 

Gauvin, Alphonse, Enrg 1,059 66 

General Films, Ltd 605,41 9,057 16 

Grimsby Food Products, Ltd 2,279 47 

Halifax, Municipality of the County of 1,912 49 

Harrison Co 3,476 52 

Hebrew Communities in Canada 39.271 30 

Heinz, H. J., Co. of Canada, Ltd 2,656 68 

Hind, F. J., Pharmaceutical Service Ltd 1,265 08 

Hudson's Bay Co 1,625 07 

Imperial Oil Ltd 2,781 51 

International Harvester Co. of Canada, Ltd 30,716 67 

Lealand Co., Ltd 6,912 07 

Libby, McNeill & Libby of Canada Ltd. 1,647 01 

Maple Leaf Milling Co., Ltd 11,081 61 

Marine Sales & Service Ltd 2,750 06 

Matthews-Wells Co., Ltd 2.068 20 

McCready's Ltd 1,149 75 

McKinley & Sons 1^361 40 

McLaren's Ltd 1347 31 

Medusa Products Co. of Canada, Ltd 1,024 90 1,533 90 

Munitions and Supply, Department of 923,420 01 

National Defence, Department of 12,619 08 

Novik, Ottar 3375 00 

Ottawa Car & Aircraft Ltd 4 277 34 

Parmenter & Bulloch Co., Ltd 1 478 32 

Pickfair Hat Co 1 316 q\ 

Pony Brand Essence & Syrup Co., Ltd 2,664 79 

Quaker Oats Co 1 015 91 

Raymore Foods, Ltd 1683 43 



DEPARTMENT OF NATIONAL REVENUE 219 

Refunds Et missions 

St. Lawrence Starch Co., Ltd 1,543 60 

St. Michael's Hospital (Toronto) 1,692 12 

Sheldon Press 2,499 95 

Shell Oil Co. of Canada, Ltd 441,122 09 

Sorg Paper Co 6,743 70 3,419 20 

Sugar Administrator (appointed under the War Measures 

Act) 2,233,637 19 

Toronto Convention and Tourist Association Inc 5,722 33 

Vancouver Exhibition Association 1,616 66 

Vetcraft Factories 5,482 79 

Welch Grape Juice Co 7,980 22 

Wool Combing Corp. of Canada, Ltd 5,117 18 

In addition to the foregoing, there was also authorized the refund and/or remission 
of customs duties and excise taxes on materials and plant equipment, etc., imported, or 
purchased in Canada, for the fulfilment of war orders and contracts, of the United Kingdom 
or Allied Governments, including the British Dominions (except Canada), and for certain 
other activities associated with the war. 

D Bonded factory and warehouse fees are assessed for services of port officers assigned 
to duties of a supervisory nature in bonded factories and warehouses. 

Brokers' licences. Regulations issued under the provisions of Section 129(5) of the 
Customs Act provide for a graduated scale of fees to be paid annually by persons 
licenced to transact business as customs-house brokers. 

♦Cartage. Under an arrangement at the port of Montreal only, cartage on goods removed 
from examining warehouses is paid in the first instance by the Department and is recovered 
later from the firms concerned. The sum recovered at this port during 1941-42 was 
S19,482.65. 

Export permits. The collections of $6,163.57 are for the period April 1 to May 5, 1941. 
By Order in Council P.C. 2448, of April 8, 1941, provision was made for the establish- 
ment (effective May 5, 1941) of a new export Permit Branch in the Department of Trade 
and Commerce and for the transfer thereto of the existing personnel of the Export Licence 
Branch of the Department of National Revenue. 

*Extra or overtime services were performed by departmental officers, on Sundays, 
holidays and outside of regular working hours, and were paid for by the persons served. 

Law stamps. All fees payable under the provisions of Section 80 of the Exchequer 
Court Act, c. 34, R.S., and Section 107 of the Supreme Court Act, c. 35, R.S., are settled 
by means of law stamps of which the issuance and sale is regulated by the Minister of 
National Revenue. 

Rentals of buildings are received from port officers who occupy residential quarters 
in government-owned buildings, operated by the Department. 

Storage charges are assessed against goods warehoused for examination and not cleared 
within the prescribed period. 

E The revenue of 8258,520.59 reported under this heading was derived mainly as a result 
of seizures under the provisions of the Customs Act and the Excise Act. The disburse- 
ments of S160,078.63 were made under authority of regulations promulgated under the 
said Acts, and were in respect of (i) expenses incidental to the making of the seizures 
and for moieties paid to the seizing officers and informers, and (ii) repayments of deposits, 
in whole or in part, to persons accused of violations of the Customs and Excise Acts. 

F(l)(2)(3) The following refunds have been deducted from the gross receipts, leaving 
the net sums set opposite the sources indicated: income taxes — individuals, S1S3,799.56; 
corporations, S72,935.82; non-resident tax, S59,321.39; rentals and royalties tax, S21,847.59; 
national defence tax. $274, 177.63; excess profits tax, $39,331.82; succession duties, $17,084.55. 

* These items were treated m revenue, rather than as "refund- of expenditures", because votes of 
sufficient amount were provided to meet the relative expenditures. 

59727— 15J 



220 AUDITOR GENERAL'S REPORT 

In addition to the foregoing refunds, taxes exigible under the Income and/or Excess 
Profits Tax laws were remitted by authority of the Governor in Council under the 
provisions of Section 33 of the Consolidated Revenue and Audit Act and Section 3 of the 
War Measures Act, as follows: 

(i) excess profits tax on dividends received by two Canadian companies from their 

English subsidiaries; 
(ii) income tax on rentals paid by two Canadian companies to United States corpora- 
tions for the use of tank cars leased for operation in Canada; 
(iii) penalties levied in certain cases for late filing of income tax returns; 
(iv) income and excess profits tax on the income of the English Thread Company 
Limited, being a company incorporated in the United Kingdom and licenced 
to do business in the Province of Quebec which income may be earned in Canada 
due to the transfer to the Montreal branch of the said company of export business 
formerly conducted from the Manchester office of the said company or the said 
company and the English Sewing Cotton Company Limited; and 
(v) excess profits tax on a deemed-to-be dividend passing from Granby Elastic Web 
Limited to the Granby Elastic Web of Canada Limited on the winding up of the 
old company on February 29, 1940. 
F(3) The Dominion Succession Duty Act came into force on June 14, 1941, and applies 

to the estates of all persons dying on or after that date. 
F(4) *Repayments for services performed by the Income Tax Division, regarding the 
administration and collection of taxes under the respective provincial Income Tax Acts 
and the Income Tax Ordinance of the Yukon Territory, were received from the govern- 
ments of Quebec ($34,705.31), Ontario ($80,000), Manitoba ($3,750) and Yukon ($327.18). 
General — As at March 31, 1942, there were in operation 151 Ports of Customs and Excise 
and under the survey of these ports, 177 Outports, 62 Preventive Stations and 73 Postal 
Collecting Stations. At the undermentioned ports of the Dominion the cost of operation 
exceeded the revenues collected in the fiscal year: — 

Revenues Expenditures 

McAdam, N.B $ 12,850 09 $ 28,526 24 

Pigeon River, Ont 5,257 95 5,955 91 

Audit Note 

C(l) The Excise Taxes derived from (i) the sale of postage stamps used on cheques, bills 
of exchange, promissory notes, receipts to banks, money orders and travellers' cheques, 
and (ii) stamp duties on Post Office money orders, postal notes, letters and post cards, 
are not included among the "Excise Taxes" shown in the foregoing statement of revenues, 
but instead are treated and reported by the Post Office Department as "Postal Revenues". 

APPROPRIATIONS AND EXPENDITURES 

A total of $13,809,573 was available for expenditures on account of the Department 
of National Revenue, of which $13,786,503 was provided in the annual appropriation acts 
and $23,070 was authorized by continuing statutory provisions. Expenditures were 
$13,427,996.38 for the fiscal year 1941-42, an increase of $1,199,129.95 over those of $12,228,866.43 
in 1940-41. 

In addition a total of $3,905 was allotted to the Department from the War Appropria- 
tion and expenditures thereunder are shown in the War Appropriation section of this report. 

•No. of 

Vote Services Appropriations Expenditures Lapsed 

Statutory Salary of Minister, Salaries Act, c. 

182, R.S 10,000 00 10,000 00 

Statutory Motor Car Allowance to Minister, 

Appropriation Act No. 5, c. 61, 

1931 2,000 00 2,000 00 

12,000 00 12,000 00 

* These items were treated as revenue, rather than as "refunds of expenditures", because votes of 
sufficient amount were provided to meet the relative expenditures. 



DEPARTMENT ()I< NATIONAL REVENUE 221 

No. of 
Vote Services Appropriations Expenditures Lapsed 

CUSTOMS AM) EXCISE divisions 
™*l Genera] Administration 1.001,485 00 074,188 39 27,30101 

191 Customs Excise Chemical Labora- 
tory 41.995 00 38,4 1.'. 7 1 3,549 26 

195) Inspection, Investigation and Audit 

49S( Services 1,296,630 00 1,136,130 68 161,499 42 

196 Preventive Service Undervaluation 

Unit 63,315 00 56,365 84 6,94!) 16 

197 Ports, Out ports and Preventive Sta- 

tions, including pay for overtime 
of officers, notwithstanding any- 
thing in the Civil Service Act, and 

temporary buildings and rentals. . 7,462,960 00 7,359,642 82 103,317 18 

9,866,385 00 9,563,768 37 302,616 63 

INCOME TAX DIVISION 

198) General Administration, including 

499| authority to create positions and 
make appointments within the 
Division, notwithstanding any- 
thing contained in the Civil Ser- 
vice Act, and the said positions 
and staff so appointed are hereby 
wholly excluded from the opera- 
tion of the said Act 491,290 00 464.030 68 27.259 32 

199j Internal Inspection and Verifica- 

500J tion 191,020 00 161,909 46 29,110 54 

200] 

431 \ District Offices 3.222,808 00 3,214,049 27 8,758 73 

501J 

3,905,118 00 3,889 £89 41 65128 59 

. GENERAL 

201 Amount to be paid to the Depart- 
ment of Justice to be disbursed 
by and accounted for to it for 
Customs Excise and Income Tax 
Secret Investigation Services ... . 15,00000 1,16860 13,83140 

SUPERANNUATION, RETIREMENT, AND 
OTHER BENEFITS 

Statutory Gratuities to families of deceased 
employees, Civil Service Act, c. 
22, R.S 11,070 00 11,070 00 

S13,809,573 00 S13,427,996 3S S 381,576 62 

The above 1 account- have beeD examined 
Certified cornet. and audited under my direction, in accord- 

ance with tin 1 provisions of the Consolidated 
B. G. McIXTYRE, Revenue and Audit Act. and subject to the 

Comptroller of the Treasury. observations in this report. I certify that 

in my opinion they are correct. 

WATSON SELLAR, 

Auditor < ■ 



222 AUDITOR GENERAL'S REPORT 

Salary of Minister, Salaries Act, c. 182, R.S $ 10,000 00 



Comment 
Minister of National Revenue,, Hon. C. W. G. Gibson. 
Motor Car Allowance to Minister, Appropriation Act No. 5, c. 61, 1931. .$ 



2,000 00 



CUSTOMS AND EXCISE DIVISIONS 

Vote 193 General Administration, $991,785 less $2,300 transferred to 

Department of Trade and Commerce 989,485 00 



Vote 497 Further amount required 



12,000 00 



1,001,485 00 
Expenditures 974,183 39 



Lapsed $ 27,301 61 



Estimates 
details 

A Permanent Salaries 921,660 00 

B Temporary Assistance 27.000 00 

C Printing and Stationery 27,700 00 

D Travelling Expenses 12,000 00 

E Telegrams and Telephones 10,000 00 

F Guarantee Fund 625 00 

G Sundries 2,500 00 



Allotments 
authorized 

866,160 00 
80,000 00 
27,700 00 
12,000 00 
10,000 00 
625 00 
5,000 00 



Expenditures 

850,879 39 

76,768 80 

24,105 53 

9,478 00 

8,175 36 

410 50 

4,365 81 



$1,001,485 00 $1,001,485 00 $ 974,183 39 



Comments 

A B As of March 31, 1942, there were 470 employees paid from these allotments. The 

following were receiving annual salaries of $2,400 or over on that date, or at date of 
separation or transfer (shown in brackets) : — 

Salary Salary 

rates rates 



Scully, H. D., Commr. of Customs. $9,000 00 

Sim, D., Commr. of Excise 9,000 00 

Jackson, L. F., Asst. Commr. of 

Customs 5,880 00 

Nauman, V. C, Asst. Commr. of 

Excise 5,880 00 

Allen, L. E 4,500 00 

Allen, W. R 2,400 00 

Anderson, W. F. C 3,000 00 

Armstrong, W. D 4,500 00 

.Aust, G. E 2,640 00 

Beach, W. H 2,400 00 

Bell, J 2,400 00 

Blake, F. H 3,720 00 

Blakely, H. M 2,400 00 

Bradley, F. M 2,400 00 

Bradley, J. C 2,760 00 

Brodeur, P. E. S 4,080 00 

Brown, A. W. (on loan to Depart- 
ment of Munitions and Supply 
from Oct. 1) 4,440 00 



Bryenton, L. C 

Buckingham, C. O 

Bunker, G. N. (May 16, see also 

Vote 195) 

Callbeck, C. H 

Carrier, R. R. A 

Carruthers, O. V 

Cauley, F. L 

Clifford, F 

Cohen, J 

Corrigall, H. W 

Cosh, R. F 

Crossan, T. G 

Cuthbert, T. H 

Darwin, N. J 

Davidson, G. A 

Davis, W. O 

Deachman, J. S 

Doyle, T. V 

Driscoll, J. O 

Ellement, A. A 



2,400 00 
3,000 00 

3,720 00 
3,720 00 
2,400 00 
3,240 00 
2,400 00 
2,400 00 
2,760 00 
2,400 00 
2,760 00 
2,760 00 
2,400 00 
2,400 00 
2,400 00 
4,080 00 
3,240 00 
3,360 00 
2,400 00 
2,520 00 



DEPARTMENT OF NATIONAL REVENUE 



223 



Salary 
rates 

Ellis, H. H 4,140 00 

Errett, P. A 3,240 00 

Fairbairn, R 4,440 00 

FaJkner, T. S 3,000 00 

Follows, H. G 2,400 00 

pinner, F. J 2,640 00 

FitzGerald, R. R 4,080 00 

Furlong. C.J 2,640 00 

Gaboury, J. E 4,140 00 

Gilchrist, C. T 3,240 00 

Glass, G. H 2,880 00 

Green, F. I. ..' 2,400 00 

Guibord, J. R 2,400 00 

Gunby, C. E 4,080 00 

Haggins, E. M. (Nov. 15) 3,120 00 

Haw, W. C 3,420 00 

Hector, J. H 3,000 00 

Henry. W.J 3,240 00 

Hicklin, W. L 3.600 00 

Hind, A. R 2,760 00 

Holmes, L. W 3,720 00 

Hooper, G. E 3,480 00 

Hooper, J. A. V 3,480 00 

Howard, H. A 3,000 00 

Jean, G. F 2,400 00 

Jones, W 2,400 00 

Kealey, H. J 2,400 00 

Kenney, A. S 3,120 00 

Kerr, E 2,400 00 

Kincaid, J. F 2,400 00 

King, G. C. M 2,400 00 

Lambe, H. (Mav 6) 2,640 00 

Lee, H. R 2,760 00 

MacMillan, A. F 4,140 00 

MacNeil, W. J 3,120 00 

Magee, J. D 2,400 00 

Mann, O. M 3.000 00 

Martin. J. A 2,760 00 

May, E. F 2,760 00 

McGill, D. W. (on military leave 

from Aug. 9) 2,760 00 

McNeil, J. H. K 2,400 00 

Mills. T. H 2,760 00 

Montpetit, L. H 2,400 00 

Morphy, C. R 2.400 00 

Mossop, G. V 2,400 00 

Mullin, C.J 2.400 00 

Munroe, H. R 3,900 00 

O'Brien, C. F 2,400 00 



Salary 
rates 

O'Connor, E 2,520 00 

Ogg, H. J 2,400 00 

O'Reilly, C. A 2,760 00 

Palmer, F. D 2,760 00 

Petrie, E 3,420 00 

Pilon, J. V 2,760 00 

Powers, N. D 2,400 00 

Prentiss, G. H 2,640 00 

Rankin, J. S 3,780 00 

Reid, G. A 3,720 00 

Rheaume, M. H 2,400 00 

Roberts, D. H. B 2,400 00 

Robertson, F. W. (Oct. 1) 2,760 00 

Robins, E. H 2.400 00 

Roe, J. S 4,200 00 

Rombough, C. C 2,760 00 

Roy, J. E 3,000 00 

Ruel, A 2,400 00 

Russell, T. A 3,480 00 

Sharkey, N 3,480 00 

Sims, F. R 4,380 00 

Smith, R. C 3,300 00 

Smyth, P. L. (Oct. 11) 3,420 00 

Stinson, W. W 2,760 00 

Strutt, A. F 2,400 00 

Stuart, W. B 4,500 00 

Sucee, M.J 2,400 00 

Sullivan, H 2,400 00 

Taylor, L. H 4,080 00 

Telford, J. F 2,760 00 

Timleck, H. B 2,400 00 

Tory. F. T 3,420 00 

Treadwell, J. M 2,880 00 

Tuck, W. E 2,400 00 

Turcotte, L. M 2,400 00 

Urquhart, G. B 4,500 00 

Warren, L. D 4,500 00 

Welsh, W. J 2,400 00 

White, J. A. A 2,400 00 

White. L. A 2,760 00 

Williams, A. H. C. (Nov. 25) .... 4,920 00 

Wilson. J. G 2,400 00 

Wood, C. E 4.500 00 

Wood. D. S. (on loan to Depart- 
ment of Munitions and Supply 

from Feb. 1) 2,880 00 

Wormington, F. E 2,760 00 

Young, P. L 4.920 00 

Younger, L. R 4,440 00 



A The salary of officer G. H. Glass, which is among the charges to this allotment, is 
recoverable from the Foreign Exchange Control Board to which organization officer Glass is 
attached temporarily; the sum recovered during 1941-42, S2.840, is included under the 
heading "Miscellaneous Revenue Collections" in the statement on a previous page giving 
the "Details" of "Revenues" of the Department. 

C Distributed as follows: Printing. S6,130.25, and stationery, S17.975.28 (including S3.470.45 
for the acquisition, inspection and repair of, typewriters, adding, calculating and copying 
machines, etc.). 



224 AUDITOR GENERAL'S REPORT 

In consequence of the transfer to the Department of Trade and Commerce, effective 
May 5, 1941, of the duties of the Export Licence Branch (whose requirements were 
provided for in the estimates of the Department of National Revenue) $2,300 was trans- 
ferred from this allotment to the Department of Trade and Commerce by direction of 
the Treasury Board. 

D Payments of $300 or over were made to the following: Hon. C. W. G. Gibson, $1,700; 
L. E. Allen, $781.02; J. E. Gaboury, $1,219.10 ($948.16 paid from seizure revenue); W. C. 
Haw, $440.85; G. E. Hooper, $354.78 ($100.61 paid from seizure revenue); A. W. Merriam, 
$391.31; J. S. Rankin, $1,081.85; E. A. Warnock, $678.44; P. L. Young, $509.83. 

F As at March 31, 1942, 79 officers were bonded for amounts ranging from $1,000 to $5,000, 
under the Government Officers Guarantee Fund. No claims were made on the fund during 
the fiscal year in respect of any of these officers. 

Audit Note 

B Certificates covering the temporary employment of two employees expired on March 31, 
1941. The employees concerned continued to be employed and were paid salaries in the 
fiscal year under review, although the extension of employment was not authorized by 
the Civil Service Commission. 



Vote 194 Customs Excise Chemical Laboratory 41,995 00 

Expenditures 38,445 74 

Lapsed $ 3,549 26 

Estimates Allotments 

details authorized Expenditures 

A Permanent Salaries 36,435 00 34,210 00 32,747 57 

B Temporary Assistance 1,860 00 4,085 00 3,865 95 

C Printing and Stationery 500 00 500 00 496 83 

D Travelling Expenses 200 00 200 00 163 04 

E Laboratory Equipment and Supplies 2,750 00 2,750 00 1,038 56 

F Sundries 250 00 250 00 133 79 



$ 41,995 00 $ 41,995 00 $ 38,445 74 



Comments 

This vote was provided to meet salaries (including cost of living bonuses) and other 
expenses incident to the analytical examination of samples of imported goods and of certain 
goods of domestic production. 

A B As of March 31, 1942, there were 15 employees paid from these allotments. The follow- 
ing were the rates paid to officers receiving annual salaries of $2,400 or over on that date, 
or at date of separation (shown in brackets): J. I. Dore, $2,700; R. W. Hoff, $3,420; 
J. Hossack, $3,300; D. T. Mather, $2,700; R. Paradis, $2,700; A. Tingle, $4,020 (Jan. 30); 
C. E. Watson, $3,420; W. W. Watson, $2,700. 



■Vote 195 Inspection, Investigation and Audit Services 1,134,530 00 



Vote 498 Further amount required 162,100 00 

1,296,630 00 

Expenditures 1,135,130 58 

Lapsed $ 161,499 42 



DEPARTMENT OF NATIONAL REVENUE 



225 



Estimates 

details 

A Permanent Salaries 897,850 00 

B Temporary Assistance 179,000 00 

C Living Allowances 8,280 00 

D Printing and Stationery 12,500 00 

E Travelling Expenses 185,000 00 

F Telegrams and Telephones 3.200 00 

G Guarantee Fund 3,300 00 

H Sundries 7,500 00 



Allotments 

authorized 

897,850 00 

179,000 00 

8.2S0 00 

14,500 00 

183,000 00 

3,500 00 

3,300 00 

7,200 00 



Expenditures 

850,879 87 

120,864 86 

5,330 98 

14,280 27 

131,824 25 

3363 79 

2,756 52 

5,830 04 



$1,296,630 00 81,296,630 00 $1,135,130 58 



Comments 

These votes were provided to meet salaries (including cost of living bonuses) and 
other expenses incident to the inspection of Customs and Excise offices and licenced 
Bicise establishments (including special investigations and inquiries in connection therewith), 
the investigation of values of imported goods, the investigation of drawback claims and 
the auditing of books and records of commercial and industrial concerns for sales and excise 
tax purposes. 

ABE As of March 31, 1942, there were 300 permanent and 105 temporary employees paid 
from these allotments. The following were receiving annual salaries of $2,400 or over 
on that date, or at date of separation or transfer (shown in brackets) and were paid 
travelling expenses of the amounts shown: — 



Salary Travelling 
rates expenses 



INSPECTION SERVICE 



Headquarters, Ottawa: 
Bordeleau, J. C. A., 

Chief Inspector 

(May 15) $5,040 00 

Bunker, G. N, Chief 

Inspector 4,440 00 

Dayboll, E 2,640 00 

Graham, G 4,080 00 

Harris, C. H 2760 00 

Lafontaine, C. E. ... 3.720 00 
McFee, A. C. 

(Feb. 24) 4,800 00 

McNally, E 4.500 00 

Ogilvie, S. G 2,400 00 

St. Pierre, E 3,360 00 

Smith, W. B 3,720 00 

Yeo, S. D 3,720 00 

Halifax: 

Eaton, R. L 2.760 00 

Pope, R. H 3,720 00 

Charlottetown : 



$1,167 71 


14 35 


1,035 79 


1,279 12 


614 66 


334 69 


661 04 


119 55 


998 50 



137 85 



533 21 

429 12 



Casey, F. J. 
Saint John: 
Ross, F. L. 



3,720 00 1,129 66 



2,760 00 



Thornton, R. W 3.720 00 

Montreal: 

Boulais, P. E 3,720 00 

Conway, W. T 2,760 00 

Lavallee, J. A 2,760 00 

59727—16 



612 58 
991 90 



954 32 
861 02 
914 64 



Salary Travelling 
rates expenses 



Quebec: 
Beaulieu, H. H. A... 3,720 00 
Fitzpatrick, W. P. . . 2,760 00 

Belleville: 

Wilson, H. R 3,720 00 

Hamilton: 
Dickinson. M. R. ...3.720 00 
Rate, F. W 2,760 00 

London : 
Collop, C 3,360 00 

Peterborough : 

Glover, T. H 3,720 00 

Moore, W. M 2,760 00 

Sault Ste. Marie: 

Levie, F. E 2,760 00 

Woods, A. H 3720 00 

Toronto: 

Graham, A. L 3,720 00 

Jacques, W. A 3,000 00 

Lindsay, G. B 2.760 00 

Lynch, J. F. R 2,SS0 00 

Wackett, E 3,360 00 

Winnipeg: 

Brown. W. J 3,720 00 

Regina : 
Hindson, R. A 2,760 00 

Calgary: 

Legg, H 3,720 00 

Patterson, F. D 2,760 00 



803 55 
720 47 

1,429 09 

915 16 
868 25 

870 80 

1,175 69 
1,076 06 

982 50 
1,040 47 

377 11 

1,692 73 

1.375 71 

1,039 75 

908 74 

817 22 
1.019 60 



1.071 11 
510 86 



226 



AUDITOR GENERAL'S REPORT 



Salary Travelling 
rates expenses 

Vancouver: 

Burns, F. M 3,720 00 1,016 80 

Norris, G. E 2,760 00 652 81 

INVESTIGATION OF VALUES 

Headquarters, Ottawa: 

Allan, A. H. (Nov. 4) 3,000 00 

Boyd, J. .H. (Depart- 
ment of Munitions 
and Supply, Dec. 
31) 2,400 00 48 98 

Burdett, R. A 3,240 00 *1,949 21 

Donnen, J. E 3,240 00 648 69 

Fell, J. M 3,000 00 

Funston, H. F. W. . . 4,360 00 402 49 

Jones, S 4,360 00 

Lang R 2,400 00 

Mahaffy, J. D. C. . . . 3,000 00 

Merriam, A. W 4,000 00 

Rankin, J. F 2,400 00 

Roy, P. M 3,240 00 5 31 

Vancouver: 

Mouat, T. W. (Nov. 
4) 4,260 00 163 68 



INVESTIGATION OF 
DRAWBACK CLAIMS 

Halifax: 

Dunlop, J 2,880 00 

Wallis, C. W 2,400 00 

Saint John: 

Stroud, F. L 2,760 00 

Montreal : 

Ault, R. R 2,880 00 

Gauvin, L. J 2,760 00 

Power, G. E 2,520 00 

Reid, W. T 3,360 00 

Sabourin, J. F 2,760 00 

Hamilton: 

Breckin, W 2.760 00 

Ingram, W. C 2,760 00 

McQueen, W. F 2,640 00 

Moore, D. G 2,640 00 

Tennant, T. W 3,000 00 

London: 

Ferguson, J 2,760 00 

• Stone, T. W 3,360 00 

Stoneham, F. A 2,760 00 

Oshawa : 

Findlay, A. T 3,360 00 

Richardson, E. G. W. 2,760 00 

Toronto : 

Benson, M. S 3,360 00 

Boag, E. C 2,760 00 

* See Comment "E". 



1,043 65 
1,452 68 



434 17 



199 65 


1.280 89 


226 69 


146 07 


330 66 


587 51 


464 51 


324 69 


620 94 


355 04 


785 25 


318 57 


1,343 06 


620 51 


318 21 



978 06 



Salary Travelling 
rates expenses 

Buck, A. J 2,640 00 874 27 

Grandy. E. F 2,760 00 113 97 

Kent, J. H 2,760 00 72 00 

MacDonald, R. C. . . 2,880 00 940 95 

Munson, W. E 2,760 00 63 20 

O'Donohue, A. T. . . . 2,760 00 31 30 

Paul. W. G 3,960 00 968 95 

Watt, H. C 2,760 00 63 90 

Wooster, W. T 2,760 00 156 79 

Windsor: 

Bennett, W. R 2,760 00 248 80 

Clapper, D. W 2,760 00 105 85 

Lindsay, N. C 2,760 00 84 05 

Mason, A. T. 

(Feb. 5) 3,360 00 499 40 

Menzies, M.J 2,760 00 36 70 

Patterson, A. J 2,880 00 36 00 

Putman, G. J 2,520 00 225 10 

Sutherland, H. D. F. 2,760 00 28 65 

Winnipeg : 

Allen, E. V 3,360 00 633 75 

Parsons. D. S. G 2.880 00 440 58 

Vancouver: 

Duffv, P. B 2,640 00 937 72 

Lavell, F. M 3,360 00 728 78 

Salt, A. C 2,760 00 155 69 

Williamson, E. P. .. 2.760 00 1,769 90 

AUDIT SERVICE 

Headquarters 
Ottawa: 
Bishop, R. A., Chief 

Excise Tax Auditor 5,040 00 1,048 93 

Charlesworth, F 3,240 00 

Duffy, L. F 3.000 00 

Dunsmore, C. C 3,240 00 1,645 05 

Finlayson, F 3,720 00 177 70 

Furlong, M.J 4,080 00 

Holtby, E. G 3,720 00 2,566 55 

Jones, G. W 3,720 00 

McGill, R. V 3,000 00 

Meagher, N.J 3,720 00 604 33 

Ross, B 3,240 00 

Eastern Division 
Amherst : 

Leahey, F. M 3,000 00 2,665 85 

Halifax : 
Forster, A. G. 

(Sept. 7) 3,000 00 

Grant, H. C 2,400 00 759 66 

Saint John: 

Stephenson, J. R. ... 3,000 00 1,522 64 



DEPARTMENT OF NATIONAL REVENUE 



227 



Salary 
rates 

Montreal : 

Allrorn. F. H 2,400 00 

Altimas, F, J. (Un- 
employment Insur- 
ance Commission, 

Apr. 18) 3.000 00 

Reaudoin, J. E 3,240 00 

Birkett, N. M 3,000 00 

Brodeur, M. E. A. .. 3,000 00 

Bye, S. J 2.400 00 

Cassidy, R. J 2.8S0 00 

Chabot, F. A 3.000 00 

Champion, T. C. V.. 3,720 00 

Choquette, G 2.400 00 

Cypihot, A 3.000 00 

Daigneau, E. A 2,S80 00 

Doucet, A. J 3,000 00 

Doughty, F. A. 

(June 28) 3,600 00 

East, J. H 4,140 00 

Fickett, D 3,360 00 

Fontaine, L. J. B 3,000 00 

Frappier, A. P 3,000 00 

Fullerton, A. F 2,880 00 

Garceau, J. A 3.000 00 

Guay, J. T. M. (Un- 
employment Insur- 
ance Commission, 

Apr. 18) 3,000 00 

Guilfoyle, E. A 3.000 00 

Hall, L. H. (Oct. 21) 2,520 00 

Harris, D. J. W 3.240 00 

Henderson, R. A. ... 3.000 00 

Henry, W. S 2,640 00 

Hudson, L. A. C. ... 3,000 00 

Ingram, J. S 2,640 00 

Kelly, P. S 3.000 00 

Kivenko, X. M 2.400 00 

Lagace, M 3,000 00 

Lymburner, C. E. ... 3.240 00 

MacDiarmid, H 2,880 00 

Maclntyre, R. A. ... 2,400 00 

Mann. E. S 3.000 00 

McCann, J. J 3.000 00 

McEntee, W. J. S. . . 2.400 00 

McPhee, X. M 2,400 00 

-Morrison, A. W. 

(July 30) 2.400 00 

Murphy, J. A 3.000 00 

Pelletier, F. A 3.000 00 

Pitt, J. C 3,000 00 

Poliquin, J. L. H. . . . 2,400 00 

Reader, R 2.400 00 

Rothwell, A. L 3.000 00 

Smith, F. C 3.000 00 

Smith, P. G 3,000 00 

Thomson, James R.. 3,240 00 

Thomson, John R 2,400 00 

Viens, C 2.S80 00 

59727— 16i 



Travelling 
expenses 

20 00 



4 00 


,431 03 


99 91 


68 00 


20 00 


83 48 


114 15 


381 66 


231 49 


76 00 


67 21 


864 06 


78 20 


494 36 


465 31 


73 33 


79 41 


64 21 


707 37 



4 00 


64 58 


6 00 


220 27 


48 00 


8 00 


72 00 


70 00 


54 00 


24 68 


599 54 


154 20 


60 00 


13 46 


81 45 


87 81 


20 00 


2 00 


226 86 


63 00 


30 00 


26 52 


74 30 


70 00 


66 00 


260 75 


12 00 


70 00 



Salary 
rates 

Vinet, J. G 3,000 00 

Williams, \V. A 2,400 00 

Young, D. A 3,000 00 

Quebec: 
Cloutier, J. E5. B 2,400 00 

Dupras, P 2,880 00 

Good, L. G. (Apr. 18) 2,400 00 

Labad, H. A 3,000 00 

Lasnier, J. L. P 2.400 00 

Letarte, J. 2.400 00 

Letarte, L. P 2,400 00 

Martineau, O. E. J... 3,240 00 

Parent, G. J 2,640 00 

Renaud, P. A 3,000 00 

Sherbrookc : 

Blais, V 3,000 00 

Hebert, J. H. R 2.400 00 

Lauzon, J. A. E 3,000 00 

Three Rivers: 

Carpentier, R 2,400 00 

Perron, E. A 3,000 00 

Central Division 
Belleville: 

Christie, (I. W 2.8S0 00 

Welch, E. S 2.400 00 

White, M. B 2,400 00 

Hamilton: 

Bricker, H 2,400 00 

Ditner, L. B 2,400 00 

Gairn, A. B 4.140 00 

Learne, L. D 2.400 00 

Raymond, E. H 3.000 00 

Robbins, J. S 3,000 00 

Robinson, P 3.000 00 

Todd. A. H 2.400 00 

Walsh, W. C 2.400 00 

Kitchen* r: 

Leng, D. H 3.000 00 

Menzies, R 3,000 00 

Schneider, V. W 2,400 00 

Smith. O. H. V 3.000 00 

London : 

Blandford, R. D 3.000 00 

Guymer, G. L 3.000 00 

Hood. A. W. 

(Mar. 12) 2.640 00 

Hudson, W. J 2,100 00 

Rich, H. J 3.000 00 

Ottawa: 

Allan. J. J 2.400 00 

Dunlop, J. C 2.400 00 

Green, 1 2.640 00 

Larochelle, A. J 3,000 << I 

Lugsdin, L. E 2,100 ',0 



Travelling 
expense i 

171 S7 
32 00 
64 71 

130 22 

602 51 

129 24 
1,199 59 
221 96 
151 13 
74 05 
446 50 
227 92 

743 60 
284 21 
810 39 

10 00 

874 65 



529 81 


142 45 


285 86 


317 20 


214 10 


710 58 


180 20 


264 81 


22S 57 


271 20 


302 22 


83 00 


312 40 


621 80 


179 70 


865 91 


660 22 


Ml 53 


394 S8 


48 80 


S93 76 


250 S3 


450 78 


877 89 


484 74 


62 94 



228 



AUDITOR GENERAL'S REPORT 



Salary 
rates 

Smith, H. A 2.400 00 

Sykes, A 3,240 00 

Vincer, R. A 2,880 00 

Peterborough: 
Budden, F. R 3,000 00 

St. Catharines: 
Patrick, W. M. P. . . 2,400 00 
Simpson, R. A 2,400 00 

Toronto : 

Allison, W. W 3,000 00 

Argument, G 3,000 00 

Ballantyne, D. F. S. 

(Oct, 31) 3,000 00 

Barrett, E. A 2,640 00 

Barrett, T. H 3,000 00 

Benton, F. G '. 3,000 00 

Brown, G. B 3,000 00 

Campbell, A. D 2,400 00 

Channon, C. B 2,400 00 

Chant, H. G 2,400 00 

Coakwell, J. A 3,000 00 

Coffin, C. E 3,720 00 

Crowther, G. D 3,000 00 

Cullen, H. A 2,400 00 

Cunniam, G. P 3,000 00 

Cunningham, R. N.. . 2,400 00 

Dean, C. S 2,880 00 

Ellard, E. F 2,400 00 

Ferrie, R 3,000 00 

Flanagan, T. W. A.. . 3,000 00 

Gibson, J. H 2,640 00 

Gorman, M. J 2,400 00 

Grant, J. W 2,880 00 

Gray, G. F 3,000 00 

Halloran, J. F 3,000 00 

Harris, A. N. K 3,000 00 

Hignell, H. A 3,240 00 

Hill, J. S 2,880 00 

Hill, T. P 3,000 00 

Hill, W. F 3,000 00 

Kay, C. B 3,240 00 

Lang, C. L 3,000 00 

Lawrence, E. D 3,240 00 

Lugsdin, W. R 3,000 00 

Mann, A. E 2,400 00 

Mann, C. A 3,000 00 

Matta, J. F 3,000 00 

Minish, H. W 3,000 00 

Mitchell, C. R 3,000 00 

" Moore, W. C 3,000 00 

Nicoll, C. W. 1 2,880 00 

Phillipson, C. E 3,720 00 

Revell, W. 2.880 00 

Scott, G. C 3,000 00 

Shepherd, W. C 3,240 00 

Smith, E. B 2,400 00 

Trant, J. F 3,000 00 

Walton, W. L 2,400 00 

Wells, R. W 2,880 00 

Wood, C. M 3,000 00 



Travelling- 
expenses 

3 00 
2,734 11 

485 30 

285 00 
86 10 

63 30 

69 15 

3 00 
89 30 
78 55 
52 00 
114 90 
49 90 

20 40 
129 69 
166 15 
138 95 
223 35 
75 65 
56 75 

111 70 
10 00 

88 00 
83 00 
51 00 
49 90 

1,173 60 

74 00 

1,458 55 

131 75 

159 45 

85 05 

70 30 
46 50 

137 50 

191 45 

490 98 

67 30 

64 50 
226 25 

112 85 
14 00 
42 00 

112 85 

89 40 
598 01 

85 55 
161 32 
80 20 
44 00 
83 95 
63 60 
466 70 
89 70 



Salary 
rates 

Windsor : 

Leaf, G. N 3,000 00 

Rippon, F. W 2,880 00 

SherrifT, W 3,000 00 

Tomkins, E.J 3,000 00 



Western Division 
Port Arthur: 

Bond, A. E 

Milne. G. G 



Travelling 
expenses 

194 80 
208 46 
251 55 
237 75 



2,400 00 
3,000 00 



2,880 00 



Winnipeg : 

Arthur, J. 

Christie, D. P. 

(Aug. 18) 3,000 00 

Fox, V. E 2,400 00 

Gabriel, F. E. 

(Dec. 26) 2,400 00 

Johnson, W. C 2,400 00 

Kergan, R. L 3,240 00 

Paterson, R. G 3,000 00 

Sangster, J 3,000 00 

Taylor, A. J 2,880 00 

Wirth, J. C 2,400 00 

Regina : 

Dale, S. C 2,400 00 

Saskatoon : 

Kerr, H. C 3,000 00 

Wells, M. R 2,400 00 

Calgary: 

Ford, H. W 3,000 00 

Gaetz, D. G 2,400 00 

Logie, T 2,400 00 

Roach, E. R. 

(Jan. 24) 2,400 00 

Sanderson, J. D 3,000 00 

Sloan, E. B 4,140 00 

Edmonton : 

Bould, H. S. 

George, E. S 

Studer, C. A 
Vancouver : 

Agnew, J. S. ... 

Anderson, W. B 

Bone, B. W. M 

Booth. S 

Clendenning, C. H 

Galland, A. J. . . . 

Gardner, B. K. . 

Haddow, H. G. . 

Matthews, L. A. 

Moffitt, H. C. W. 

Page, A. J.'W 

Privat, C. T. . 

Reid, L. C. ... 

Ruffell, T. S. . 

Stedman, F. . . 

Thorburn, L. J 



B. 



Victoria : 
Henderson. J. W. 



2,400 00 
2,400 00 
2,400 00 

2,400 00 
3,000 00 
3,240 00 
2.880 00 
2,400 00 
3,000 00 
2,400 00 
2,400 00 
3.000 00 
2,400 00 
3,720 00 
2,400 00 
2.640 00 
3,000 00 
2,400 00 
3,000 00 

3.000 00 



372 12 
1,423 61 

218 45 



15 25 

33 50 
51 36 
352 74 
244 40 
173 68 
560 45 
86 10 

708 99 



747 01 
523 03 


667 77 

1,672 51 

768 49 


567 25 

222 05 

2,502 73 


8 00 

76 15 

600 30 



13 07 

84 50 
278 89 
153 15 
106 28 

73 11 
267 97 

83 57 
138 37 

34 40 
569 69 

21 50 
349 11 

83 45 

25 70 
1,012 13 

129 09 



DEPARTMENT OP NATIONAL REVENUE 229 

A C Among the charges to these allotment! are (i) the salaries of departmental officer! 
who were attached, temporarily, to the Foreign Exchange Control Board, and (ii) the 
salaries and living allowances of certain officers stationed in the United 8tat< - whoa 
time was occupied in servicing railway transportation companies, the hiius of $8,350 

and $22,726.74. respectively, having been recovered in this connection and included under 

the heading "Miscellaneous Revenue Collections" in the "Details" section of the depart- 
mental statement of revenues given on a previous page. 
C Living allowances of S500 or over were paid to the following officers stationed in the 

United States: W. J. Campbell, $720; G. B. Dench, $720; J. E. Donncn, $1,475.81; 

R. L. Needham, $720. 
D Distributed as follows: Printing, $5,610.59, and stationery, $8,669.68 (including $2,305.20 

for the acquisition, inspection and repair of, typewriters, adding, calculating and copying 

machines, etc.). 
E This allotment includes Sl,316.33 for living expenses of officers while acting in a relieving 

capacity away from their place of residence, also $2,244.99 for removal expenses of officers. 

Of these amounts $1,949.21 was paid to R. A. Burdett in connection with his removal from 

London, England, to Ottawa, Canada. 
In addition to the travelling expenses listed under ABE above, the following employees 

also received $300 or more for travelling expenses: J. F. M. Champagne, $473.43; 

S. J. Fullerton, $550.20; D. E. Gallant, $493.30; A. R. Hutchinson, $1,265.61; P. P. Last, 

S345; W. H. Matthews, $385.75; M. E. T. McAndrew, $988.54; E. O'Connor, $371.68; 

A. P. O'Reilly, S4S1.30; L. L. E. Rolston, $476.62; J. W. Stringer, $394.64; J. L. Sullivan, 

$672.70. 
G As at March 31, 1942, 394 officers were bonded for amounts ranging from $1,000 to $6,000, 

under the Government Officers Guarantee Fund. No claims were made on the fund during 

the fiscal year in respect of any of these officers. 
H The charges to this allotment include: postage and post office box rents, $2,870.68; 

compensation for loss, due to depreciation of the Canadian dollar, on cheques issued 

for salaries and expenses of officers stationed in the United States, $751.47; office rentals 

and lighting, $1,369.65; a payment of $118.18 covering expenses for storage and insurance 

on furniture, left behind in Brussels, Belgium, by P. M. Roy, formerly Investigator of 

Values in that city. 

Audit Note 

B An overpayment in salary of $64.62 was made to a temporary officer now separated 
from the service. 



Vote 196 Preventive Service Undervaluation Unit 63,315 00 

Expenditures 56,365 84 



Lapsed $ 6,949 16 



A Permanent Salaries 

B Temporary Assistance 

C Printing and Stationery . . 

D Travelling Expenses 

E Telegrams and Telephones 

F Guarantee Fund 

(i Sundries 



Estimates 


Allotments 




details 


authorized 


Expenditures 


57,525 00 


57,000 00 


51,823 75 


1,440 00 


1,965 00 


1,674 40 


500 00 


500 00 


323 9S 


3,000 00 


3,000 00 


1,998 64 


350 00 


350 00 


269 20 


200 00 


200 00 


162 83 


300 00 


300 00 


113 04 



$ 63,315 00 S 63,315 00 $ 56.365 S4 



Comments 

This vote was provided to meet salaries (including cost of living bonuses) and other 
expenses of the Undervaluation Unit whose duty it is to investigate infractions of the customs 
laws (except cases of smuggling) involving the importation and entry of goods under 
false invoices or declarations regarding values and duties payable. 



230 



AUDITOR GENERAL'S REPORT 



A B As of March 31, 1942, there were 22 permanent and 2 temporary employees paid 
from these allotments. The following were the rates paid to officers receiving annual 
salaries of $2,400 or over on that date: H. E. Ball, $2,760; H. L. Carson, $3,720; C. S. 
Fisher, $2,520; C. E. Gress, $2,520; L. H. Hall, $2,760; G. E. M. Hunter, $3,720; T. B. 
Hurson, $2,520; R. C. Maxwell, $2,760; B. A. Neville, $2,520; U. A. Paquette, $2,760; 
I. Savard, $3,720; C. H. Tyers, $2,520. 

Thirteen of the officers who were paid from these allotments also received seizure 
awards of moieties payable under regulations promulgated under the Customs and Excise 
Acts. The payments were made from seizure revenue and amounted to $13,900.93. 

D In addition to the charges to this allotment, $1,449.66 for travelling expenses of thirteen 
officers was paid from seizure revenue. Payments of $300 or over, from the allotment 
and/or from seizure revenue were as follows: J. W. Brault, $582.45; B. A. Neville, $363.14; 
U. A. Paquette, $620.48; I. Savard, $596.23. 



Vote 197 



Ports; Outports and Preventive Stations, including pay for 
overtime of officers, notwithstanding anything in the Civil 

Service Act, and temporary buildings and rentals 7,462,960 00 

Expenditures 7,359,642 82 



Lapsed $ 103,317 18 



Estimates 
details 

A Salaries 6,191,760 00 

B Living Allowances 11,700 00 

C Overtime 150,000 00 

D Uniforms 40,000 00 

E Printing and Stationery 210,000 00 

F Travelling Expenses 70,000 00 

G Telegrams and Telephones 30,000 00 

H Cartage 170,000 00 

I Postage 50,000 00 

J Express and Freight 12,000 00 

K Legal Expenses 50,000 00 

L Stamps and Labels ' 325,000 00 

M Guarantee Fund 17,500 00 

N Temporary Buildings, Maintenance and 

Rentals 100,000 00 

O Sundries 35,000 00 



Allotments 
authorized 

6,241,760 00 
11,700 00 

175,000 00 
36,000 00 

185,000 00 
90,000 00 
40,000 00 

120,000 00 
54,000 00 
17,000 00 
50,000 00 

325,000 00 
17,500 00 

70,000 00 
30,000 00 



Expenditures 

6,232,379 40 
11,536 68 

172,991 10 
29,658 39 

158,326 65 
86,292 38 
39,121 95 

112,369 54 
50,641 26 
16,145 72 
41,556 26 

320,026 38 
16,334 50 

49,906 34 
22,356 27 



$7,462,960 00 $7,462,960 00 $7,359,642 82 



Comments 

This vote was provided to meet (i) the salaries (including cost of living bonuses) and 
other expenses of collectors of Customs and Excise and their staffs, engaged in (a) the 
examination and appraisal of imported goods, (b) the assessment and collection of the 
duties and taxes payable thereon, (c) the assessment and collection of excise duties, excise 
taxes, and sales tax on domestic goods, (d) the supervision of Customs bonded warehouses 
and licenced establishments and the port administration of the Customs and Excise laws 
and regulations; and (ii) related expenditures. 

A As at March 31, 1942, there were 2,983 permanent and 464 temporary employees paid 
from this allotment. The following were receiving annual salaries of $2,400 or over on 
that date, or at date of separation (shown in brackets) : — 



DEPA K TMENT OF NA TIONA L l< E I FNUF 



231 



Salary 

rates 

Nova Scotia 

Halifax: 

Collins, C. A $3,720 00 

Hare, J 2,820 00 

Beisler, H. S 3,120 00 

Moore, G. C. (July 11) 3,000 00 

O'Lcary, A. B 3,000 00 

Power, P. J. (Sept. 23) 2,580 00 

Sydney : 

Ti bin, W. J 2,760 00 

Yarmouth : 

Wyman, M. C 2,520 00 

Prince Edward Island 

Charlotte town: 
Goodwin, L. W 2,580 00 

New Brunswick 

Fredericton: 
Colter, F. P 2,640 00 

Moncton : 
Girouard, J. A 2,640 00 

Saint John: 

Abbott, F. C 3,000 00 

Berry, H. V 3,000 00 

Hoyt, A. L 3,720 00 

Sullivan, H. D 3,000 00 

Wright, C. H. B 2,820 00 

Quebec 

Granby : 

Gauvin, L. E 3,000 00 

Lacolle: 

Racicot, E. D 3,000 00 

Montreal: 

Aucoin, A 4,140 00 

Bertin, A. L. S 2,460 00 

Bourdon, E. H 3,000 00 

Brabant, J. F 3,000 00 

( lerk, E. G 3^000 00 

Craig, A. F. (Sept. 30) 2,460 00 

Dagenais, E 2.640 00 

Denis, J. L 2,760 00 

Drapeau, J. E. B 2,460 00 

Faucher, J. P 2,460 00 

( ialarneau, J. A. H 3,000 00 

Giroux, A 3,240 00 

Granton, C 3,000 00 

Grenier, P. E 3,540 00 

Guernon, M. J. R 3,000 00 

Harwood, J. O. A 2,460 00 

Hayward, F 2,760 00 

Juteau, A 3,000 00 

Kavanagh, J. J. (Jan. 6) 2.520 00 

Labelle, J. D 3,000 00 



Salary 
rates 

I. amir, A 5,700 00 

Lally. .1. E 3,000 00 

Lalonde, 2,700 00 

Lalumtere, J. A 3.000 00 

Leblanc, D 2,460 00 

Lemieux, R 2,460 00 

Logan, T 2,880 00 

Loranger, G. A 2,760 00 

McKenzie, J. F 2,760 00 

Mignault, L. (Feb. 21) 3,720 00 

Olivier, J. A 3,000 00 

Papillon, F 2,400 00 

Parizeau, L. D 2,400 00 

Pelletier, G 3,180 00 

Porteous, H 2,400 00 

Roche, H. G 3,000 00 

Roy, F 2,460 00 

St. Jean, J. A 3,000 00 

Wall, W. F. (Aug. 7) 3,000 00 

Walsh, G. B 3,000 00 

Quebec: 

Arsenault, J. M 3,000 00 

Belleau, J. A 3,000 00 

Bergeron, E. L 2,820 00 

Blouin, J. A 3,120 00 

DeBilly, J. S 3,720 00 

Ferland, N. E 2,760 00 

Julien, F.J 2,400 00 

Matte, G 3,000 00 

Santerre, J. A. A 2,460 00 

Tessier, J. A. W 2,460 00 

Rock Island: 

Struthers, E.J 2,640 00 

St. Johns: 

Pinsonnault, J. L. S 2,640 00 

Sherbrooke : 

Belisle, J. C 2,520 00 

Greenland, L. W. E 2,640 00 

Valleyfield: 

Duquette, J. A. E 2,640 00 

Ontario 
Amherstburg: 

Campbell, P 3,000 00 

Spittel, F. C 2,460 00 

Belleville: 

irke, E. M 2,460 00 

Cook, W. J 3,000 00 

Geen, E. A 3,120 00 

Ross, H. A 2,400 00 

Sprague, F. W 2,460 00 

Brantford: 

Coale, A. A 2,580 00 

Lyle, R. J 3,000 00 



232 



AUDITOR GENERAL'S REPORT 



Salary- 
rates 

Brockville : 
Bannerman, W. R 2,460 00 

Chatham : 

Rawlings, D. G. H 2,520 00 

Fort Erie: 

Osborn, G. H 2,820 00 

Price, C. H 2,700 00 

Stamp, W. G 3,720 00 

Willson, J. E. A 2,520 00 

Fort William: 

Coombes, C. E 3,120 00 

Stewardson, C. E 2,400 00 

Gait: 
Veitch, W. J 2,640 00 

Guelph : 
Hanlon, J. R 2,640 00 

Hamilton: 

Angle, M. W. (Sept. 14) 3,000 00 

Ballentine, A 4,260 00 

Binkley, N. G 2,400 00 

Craig, R. B 2,520 00 

Glass, W. R 2,520 00 

Greig, W. G 2,520 00 

Hughes, C. H 3,000 00 

Kirkpatrick, H. J 2,640 00 

Leask, R. N 2,760 00 

Mills, P. E 2,460 00 

Quinn, F. J 2,460 00 

Williams, H. R 3,000 00 

Kingston : 
Cathcart, A. W 2,880 00 

Kitchener : 

Break, E 3,000 00 

Klepper, J 2,700 00 

McLay, R. T 2,460 00 

Rogers, H. A 2,400 00 

Williams, J. K 3,000 00 

London: 

Down, W. H 3,720 00 

Smyth, G. W 2,580 00 

Thomas, W. R 2,760 00 

Wooster, H. W 2,820 00 

Midland: 

Haggart, W. E 2,520 00 

Niagara Falls: 

Burton, T. F 2,820 00 

Dunk, J. W 2,760 00 

Gardner, G. C 3,720 00 

Prest, S. G 2,520 00 

Oshawa : 

Mechin, N. F 3,120 00 

Meek, R 2,760 00 

Moore, J. A 2,400 00 



Salary 
rates 

Ottawa: 

Blacklock, J. A 2,940 00 

Booth, G. E 2,520 00 

Driscoll, C. E 3,000 00 

Mulligan, J. E. S 3,000 00 

Saunders, A. M 3,720 00 

Wood, J. H 2,820 00 

Owen Sound: 

Dobson, E. A 2,460 00 

Peterborough : 

Lang, W. M 3,120 00 

Port Arthur: 

Hanley, J 2,880 00 

Prescott : 

Cook, E. A 2,760 00 

St. Catharines: 

Blain, J. C 2,820 00 

Sarnia : 

Cole, S. A 3,720 00 

East, W. J. (Oct. 30) 2,760 00 

Sault Ste. Marie: 

Blarney, J. R 2,400 00 

Fisher, R. (Nov. 30) 3,120 00 

Toronto : 

Barnett, P. J 3,000 00 

Burns, R. J 2,460 00 

Burns, W. G 2,760 00 

Chivrell, M. W 2,520 00 

Clark, R. H 2,760 00 

Delaney, J. J 2,820 00 

Drinkwater, W. S 3,720 00 

Green, A 3,000 00 

Guthrie, W. F 4,140 00 

Howard, A. T 2,760 00 

Lennie, E. D 5,700 00 

Lunham, A. S 3,000 00 

MacKay, J. C 2,940 00 

McArthur, G. H 3,720 00 

McCormack, A 2,400 00 

McCutcheon, A. D 2,460 00 

McGuire, W. A. (Sept. 3) 2,820 00 

Meredith, H. S 2,760 00 

Myers, F. C 2,460 00 

Robertson, W 3,000 00 

Robinson, J 2,400 00 

Robinson, W 3,000 00 

Ruttle, G. N 2,460 00 

Seed, S. P 2,760 00 

Tate, T. G 2,880 00 

Taylor, S. G 3,240 00 

Walsh, W. H 3,000 00 

Wilkie, E. A. P 2,880 00 

Walkerville : 

Armstrong, L. E 2.460 00 

Hall, H. R. M 3,000 00 



DEPA R TMEN T OF NA TIONA L R I. \ ENUE 



233 



Salary 
rates 

McCann, F. A 2,760 00 

Ritchie, W. B 3,720 00 

Van Wagoner, K. G 2,S20 00 

Wallacebupg: 

Mitchell, G. R 2,640 00 

Welland: 

llook.r, E. D 2,640 00 

West Toronto: 

Raybould, J. P 2,880 00 

Thompson, P. H 2,460 00 

Windsor: 

Beardmore, II 3,180 00 

Clark, T 3,720 00 

Hall, R. P 3,000 00 

Packman. (\ H 2,520 00 



Manitoba 
Imerson : 
Lendrnm, R 



2,640 00 



Winnipeg: 

Bailie, J. T 3,720 00 

Jordan. \V 3,060 00 

K< onedy, A. M 4,920 00 

Magee, H. E 2,700 00 

Matheson, G. A 2,460 00 

Matheson, J. G 2,700 00 

Milnes, H 3,000 00 

Nixon, F. W 3,000 00 

Prowse, E. W 2,460 00 

Rollerson, W 2,760 00 

Rutland, G. W 2,460 00 

Telford, G. S. (Jan. 31) 2,460 00 

Thomas, W 3,000 00 

Saskatchewan 

Moose Jaw: 

Price, T. S 2,520 00 

Regina : 

Gabb, H. J 2,880 00 

Horn, J 2,400 00 

O'Connell, M 2,760 00 

Saskatoon: 

Perrey, C. A 2,640 00 

Alberta 

Calgary : 

Allen, T. M 2,760 00 

Dauncey, A. R 2,760 00 

McDougall, J. C 2,400 00 

McLaren, G. E 3,120 00 

Ross, ('. 11 2.520 00 



Salary 

Edmonton : 

Duke, J. W 2,580 (hi 

Edgecombe, G 2,400 00 

Huntley, E 2,520 00 

Lethbridge: 

Gates, W. H 2,640 00 

British Columbia 
Nanaimo : 

Abrams, B. S 2,460 00 

New Westminster: 

Barrett, R. A 3,000 00 

Buchanan, J. S 2,460 00 

Fadden, A. G 2,940 00 

Prince Rupert : 

McLeod, J. H 2,820 00 

Vancouver: 

Abbott, R. W 2,460 00 

Birmingham, H. D. A 3,720 00 

Brown, G. V 2,400 00 

Brown, J. (Oct. 31) 2,400 00 

Bush, M. A 2,940 00 

Carmichael, A 4,920 00 

Chilver, F. W 2,760 00 

Cocker, C.J 2,520 00 

Darrach, D. C. (Feb. 28) 2,760 00 

Dempster, H. 1 2,760 00 

Devlin, H. F 3,420 00 

Harford, H 3,000 00 

Hopgood, A.J 2,760 00 

Johns, S. C 3,000 00 

Kemp, S. B 2,460 00 

Link, R. L 2,460 00 

McLaehlan, R. A 2,520 00 

Morgan, E.J 3,000 00 

Simpson, G 3,000 00 

Tossell, C. A 3,000 00 

Victoria : 

Conyers, C 2,760 00 

Frisby, A. B. (Oct, 26) 2,760 00 

Huxtable, A. S 2,640 00 

Kenny, J. E 2.820 00 

Yardley, G. A 3,720 00 



Yukon 

Dawson : 

Williams. J. ( ) ... 

White Horse: 
Simmons, J. A. 



3,120 00 



2,520 00 



In addition to the payments from this allotment, salaries, etc., totalling $57,151 
were paid to 423 Customs and Excise officers by other departmi i 

The salary of officer E. J. Struthers of the Port of Rock Island, Que., which is among 
the charges to this allotment, is recoverable from the Foreign Exchange Control Board. 



234 AUDITOR GENERAL'S REPORT 

to which organization officer Struthers is attached temporarily; the sum recovered during 
1941-42, $2,640, is included under the heading "Miscellaneous Revenue Collections" in 
the statement on a previous page giving the "Details" of "Revenues" of the Department. 

B Living allowances are paid to officers stationed in northern British Columbia and the 
Yukon. The following were paid at the rate of $1,500 per annum: J. P. Begg; P. Cederberg; 
T. A. M. Haney; W. J. Nelson; J. A. Simmons; G. F. S. Watson; J. 0. Williams. 

C Overtime services were performed by port officers on Sundays, holidays and outside 
of regular hours; the cost was, for the most part, charged to, and paid for, by the firms 
or persons accommodated. As shown under "Miscellaneous Revenue Collections" in the 
"Details" section of the departmental statement of revenues given on a previous page, 
$177,543.80 was recovered in this connection. The excess of receipts over expenditures 
is due chiefly to the fact that in certain cases officers were allowed compensating time 
off instead of being paid for overtime. 

D For the purpose of providing uniforms for distribution to customs officers, cloth is 
purchased by the Department for resale to clothing manufacturers who tailor the garments 
and bill the Department for the completed uniforms. 

Cloth purchases were: Leach Textiles Ltd., Montreal, $997.64; Paton Manufacturing 
Co. Ltd., Montreal, $12,308.96. 

Cloth sales were: Walter Blue and Co. Ltd., Sherbrooke, $2,361.97; Gordon Campbell 
Ltd., Vancouver, $1,661.08; Clayton and Sons Ltd., Halifax, $2,118.80; Hamilton Uniform 
Cap Co., $276.75; Tip Top Tailors, Ltd., Toronto, $6,252.93. 

Payments for uniforms were: Walter Blue and Co. Ltd., $4,445.49; Gordon Campbell 
Ltd., $3,280.50; Clayton and Sons Ltd., $4,693.20; Hamilton Uniform Cap Co., $1,382.50; 
Tip Top Tailors Ltd., $12,932.15. Payments for uniform badges, buttons, etc., were: 
William Scully Ltd., Montreal, $1,234.34. 

E Distributed as follows: Printing, $106,974.12, and stationery, $51,352.53 (including $4,030.15 
for the acquisition, inspection and repair of, typewriters, adding, calculating and copying 
machines, etc.). 

F This allotment includes $45,765.39 for living expenses of officers while acting in a relieving 
capacity away from their place of residence; also $1,160.49 for removal expenses of officers. 
Payments of $300 or over were made to the following: R. F. Acorn. $848.69; R. A. 
Aldersmith, $480.46; A. L. Aucoin, $381; S. W. Barrett, $381.15; J. J. L. Barry, $300; 
H. Beardmore, $405.65; C. J. Beaton, $725.47; W. R. Beecraft, $317.32; G. B. D. Berton, 
$926.20; L. P. Blais, $374.75; H. E. Blois, $379.50; F. E. Bradley, $301.60; F. S. Broder, 
$415.37; P. A. Caron, $995.14; W. C. Cochrane, $570.10; S. A. Cole, $310.60; C. N. Corkum, 
$493.80; J. D'Amours, $352.06; A. R. Dauphinais, $906.90; W. H. Davis, $437.16; W. J. 
Elliot, $816.50; G. F. Freeman, $333.35; A. S. Fuller, $356.50; E. F. Fulton, $381.30; 
F. J. Gillis, $1,156.50; C. F. Glenn, $618.01; F. R. Goode, $300; J. P. Greig, $344.54; 
F. M. Hackney, $307.36; R. E. Hall, $570.35; A. L. Hambleton, $658.26;' C. R. Hawley, 
$434.05; J. H. Hayes, $627.45; J. E. Hebert, $458.01; W. B. Howse, $1,061.20; W. F. 
Johnston, $458.50; D. Kidd, $300; E. R. Kingsley, $417; F. B. Leblanc, $616.50; C. E. 
Leclerc, $370.93; A. W. Lee, $414; J. A. R. Lepage, $1,429.80; J. D. U. Lussier, $855.82; 
J. A. Mailloux, $1,358.80; I. R. McGregor, $962.65; W. N. McMaster, $381.85; R. Meek, 
$800.31; H. S. Meredith, $558.61; B. N. Messinger, $592.45; J. R. Miller, $311.95; J. O. R. 
Moffet, $473.91; D. J. Nelson, $357.54; J. O. Parent, $340.20; I. F. Pooley, $1,310.58; 
S. G. Prest, $325.75; E. D. Racicot, $417.32; L. N. O. Raymond, $759.05; J. V. Rees, 
$393.35; A. C. Sargeant, $886.65; A. G. Savage, $777.37; H. L. Scott-Stone, $300; H. F. 
Sherwood, $671.64; T. F. Smith, $1,235.34; L. E. Starke, $311.41; J. G. A. Thibaudeau, 
$795.60; H. Vermette, $300; T. Walters, $814.40. 

H Offsetting the expenditure of $112,369.54 for cartage, the sum of $22,840.79 was recovered 
(chiefly at the port of Montreal) and is shown as "Miscellaneous Revenue Collections" 
in the "Details" section of the departmental statement of revenues given on a previous page. 
Payments of $1,000 or over were made to the following: Ardley Bros., Ottawa, $1,660.70; 
Armstrong Cartage and Warehouse Co. Ltd., Hamilton, $1,881.20; H. W. Bacon, Toronto, 
$25,069.44; Burke and Wood, Ltd., Vancouver, $2,091.75; Canadian Transfer Co. Ltd., 
Ottawa and Toronto, $2,457; W. Chalut, Montreal, $6,402; Gray's Baggage Transfer, 
London, $2,127.70; Hendrie & Co., Hamilton, $3,311; James Storage & Cartage Co. Ltd., 



DEPARTMENT OF NATIONAL REVENUE 235 

Calgary, $1,660.41; R. J. Kimmel, Winnipeg, S7.443.30; J. 1). Kingston, Toronto, $1,812; 
Laurin Express Ltd., Montreal, $14,360.66; A. Letourneau, Quebec, $1,077.90; Mahar's 
Transfer Express, Balifax, $1,024.66; Mainland Transfer Co. Ltd., Vancouver, $5,278.60; 
P. McNulty, Saint John. $1,800; C. A. Price, Windsor, Ont., SI. .560; St. Arnaud k Bergevin, 

Montreal, S17,864.43. 

K Payments of §1,000 or over were made to the following: R. Genest, Montreal, Sl.215.45; 
M. Hartt, Montreal, S4,378.48; Smart and Biggar, Ottawa, $6,725. 

L Stamps and labels required for customs and excise purposes, and law stamps, required 
under the provisions of the Exchequer Court Act, c. 34, R.S., and the Supreme Court 
Act. c. 35, R.S.. are manufactured and furnished by the British American Bank Note 
Co., Ltd., under contract authorized by P.C. 3239 of December 22, 1934. 

M All officers of this service were bonded for amounts ranging from $500 to $10,000, under 
the Government Officers Guarantee Fund. No claims were made on the fund during 
the fiscal year, in respect of any of these officers. 

■ Expenditures distributed as follows: construction of buildings, including fixed equipment, 
$12,416.37; repairs and alterations, $5,784.02; maintenance, $17,540.32; rentals, $12,368.27; 
repairing and equipping harbour boats, $1,602.99; sundry, $194.37. 

Payments of $1,000 or over were made to the following: Beaver Lumber Co. Ltd., 
Winnipeg. S3.649.67; T. Berlic, Robsart, Sask., $2,107.62; Department of Pensions and 
National Health, $1,800; H. C. Polley, Sydney, $1,344; H. H. Popham, Ottawa, $1,293.61; 
Robertson Construction and Engineering Co. Ltd., Niagara Falls, $1,800; Steel Equip- 
ment Co. Ltd., Ottawa, $2,151. 

O Distributed as follows: Advertising, $1,778.27; commissions on sales of excise tax stamps, 
S3.069.0S; dating and numbering machines, $4,614.33; fees for entering and clearing vessels 
and aeroplanes, $3,747.50; laundry and towel service, $1,287.56; maintenance of equip- 
ment, $2,575.96; supplies and materials, $2,432.02; miscellaneous items, $2,851.55. 

Payments of $1,000 or over were made to the following: Capital Stamp and Stationery 
Co., Ottawa, $2,003.05; Pritchard-Andrews Co. of Ottawa, Ltd., $2,666.55; Robert Soper 
Ltd., Hamilton, $1,312.40; Toronto Stock Exchange, $2,158.96. 

Audit Note 

F As stated in the report of 1940-41, the cost of operation, at the Port of Antigonish, N.S., 
was increased due to the fact that as no permanent collector was appointed, the Depart- 
ment delegated officers from other ports to perform the collector's duties, with the result 
that expenditures of $1,112.25 were incurred for travelling and living expenses of such 
officers. The situation was unchanged at the close of the fiscal year under review and 
in consequence further expenditures of $1,780.75 were incurred for like services during 
1941-42. 

INCOME TAX DIVISION 

Vote 198 General Administration, including authority to create positions 
and make appointments within the Division, notwithstand- 
ing anything contained in the Civil Service Act and the said 
positions and staff so appointed are hereby wholly excluded 
from the operation of the said Act 433,580 00 



Vote 499 Further amount required 57,710 00 

491,290 00 
Expenditures 464,030 68 

Lapsed $ 27,259 32 



236 AUDITOR GENERAL'S REPORT 

Estimates Allotments 

details authorized Expenditures 

A Permanent Salaries 192,500 00 224,500 00 223,674 02 

B Temporary Assistance 140,490 00 78,490 00 76,691 44 

C Printing and Stationery 80,500 00 46,700 00 40,528 45 

D Travelling Expenses 8,800 00 38,800 00 31,989 68 

E Telegrams and Telephones 2,000 00 2,000 00 1,892 97 

F Express, Freight and Cartage 7,500 00 15,700 00 15,591 41 

G Law Costs 18,000 00 18,000 00 6,724 50 

H Sundries 9,500 00 16,600 00 16,529 80 

I Canadian Bankers' Association 32,000 00 50,500 00 50,408 41 



$ 491,290 00 $ 491,290 00 $ 464,030 68 



Comments 

A B As of March 31, 1942, there were 140 permanent and 74 temporaiy employees paid 
from these allotments. The following were the rates paid to officers receiving annual 
salaries of $2,400 or over on that date, or at date of separation (shown in brackets) : 
C. F. Elliott, Commissioner of Income Tax, $9,000; E. Belleau, $3,240 (military leave, 
Mar. 16) ; R. F. Burns, $3,360 (member of the War Contracts Depreciation Board) ; 
G. H. Code, $4,500; C. A. Dewar, $3,000; W. S. Fisher, $4,980; J. S. Forsyth, $2,400; 
R. A. Gilham, $2,760; G. W. Green, $2,760; W. B. Kelley, $2,760; F. H. Lewis, $5,700; 
H. N. MacAdam, $2,640; E. S. MacLatchy, $3,240; G. Marrotte, $2,400; J. A. McColl, 
$3,600; A. A. McGrory, $4,200; H. H. Milburn, $3,360; R. D. Pearson, $3,360; S. Quigg, 
$4,200; L. A. Renaud, $4,000 (Joint Secretary of the Board of Referees, Excess Profits 
Tax Act); M. F. Sprott, $2,400; C. W. Stephens, $3,600; H. H. Stikeman, $3,240; J. R. 
Tolmie, $3,900 (on loan to Department of Finance, Oct. 13) ; J. R. Urquhart, $3,420. 

C Distributed as follows: Printing, etc., $21,298.32, and stationery, $19,230.13 (including 
$2,653.69 for the acquisition, inspection and repair of typewriters and adding machines). 

D From this allotment there were paid per diem allowances and expenses in connection 
with : — 

(i) The Board of Referees, Excess Profits Tax Act: Chairman, Hon. W. H. Harrison, 
at $20 per day, $3,230, expenses, $1,188.65; members at $50 per day, K. W. Dalglish, $7,500, 
expenses, $398.95; C. P. Fell, $7,625, expenses, $795.90; adviser, C. Elliott, at $50 per 
day, $4,850, expenses, $930.32; and 

(ii) the War Contracts Depreciation Board: Hon. C. P. McTague, Chairman, at $20 
per day, $2,090, expenses, $214.15; the compensation of the other members of the Board 
are detailed as follows, R. F. Burns, under A B above and F. H. Black, under "Adminis- 
tration" of the Department of Munitions and Supply division of the War Appropriation. 

In addition, payments of $300 or over were made to the following: C. A. Dewar, $884.56; 
C. F. Elliott, $407.98; W. B. Kelley, $616.25; A. A. McGrory, $469.72; H. H. Stikeman, 
$389.40. 

F Payments of $1,000 or over were made to the following: Canadian National Railways, 
$7,328.34; Canadian Pacific Railway Company, $6,730.64. 

G One account of over $1,000 was incurred during the year; this was for $2,689.01 to the 
Dominion Textile Company Ltd. in payment of Exchequer Court costs. 

H Pa3'ments of $1,000 or over were made to the following: Associated Screen News 
'Ltd., Montreal, production of income tax trailer, "April's Here Again", prints, etc., 
$2,052,93; Russell T. Kelley Ltd., Hamilton, newspaper advertising and relative pro- 
duction charges, and fees for broadcasting station announcements, $10,844.95. 

I Under authority of P.C. 49/1031 of May 6, 1937, Canadian chartered banks are com- 
pensated, through the Canadian Bankers' Association, for their services in receiving 
ownership certificates and collecting and remitting to the Receiver General of Canada 
the tax imposed under the Income War Tax Act, in respect of dividends and interest 
payable to residents and non-residents of Canada, as evidenced by coupons presented 
to the banks for encashment. For similar service the Montreal City and District Savings 
Bank is compensated under the authority of P.C. 58/1656 of March 3, 1942. 



DEPARTMENT OF NATIONAL REVENUE 237 

Payments were distributed as follows: Bank of Montreal, 812,474.76; Bank of Nova 
Scotia, $4,153.05; Bank of Toronto. $2,540.37; Banque Canadicnne Nationale, S3, 131.69; 
Banque Provinciale du Canada, .Sl.0Hi.20; Barclays Hank (Canada), 1206.61; Canadian 
Hank of Commerce, $8,59757; Dominion Bank, S2.019.48; Imperial Bank of Canada, 
$1375.96; Montreal City and District Savings Bank, $92451; Royal Hank of Canada, 
$13,438.41. 

Audit Note 

<; An advance of $150 was not accounted for in accordance with the provisions of Section 
32(2) of thr- Consolidated Revenue and Audit Act. 



Vote 199 Internal Inspection and Verification 171,040 00 



Vote 500 Further amount required 19,980 00 

191,020 00 
Expenditures 161,909 46 

Lapsed $ 29,110 54 

Estimates Allotments 

details authorized Expenditures 

A Permanent Salaries 112,340 00 137,340 00 133.066 79 

B Temporary Assistance 69,180 00 44.180 00 24,725 86 

C Printing and Stationery- 500 00 500 00 

D Travelling Expenses 8,000 00 8,000 00 4.116 81 

E Sundries 1.000 00 1,000 00 



$ 191,020 00 S 191,020 00 S 161,909 46 



Comments 

The.-' votes wire provided to meet salaries (including cost of living bonuses) and 
other expenses of the staffs of the Chief Inspector, the Inspector of Non-resident Income 
Tax Levies and the Head Office Assessor. 

A B As of March 31, 1942. there were 43 permanent and 14 temporary employees paid 
from these allotments. The following were the rates paid to officers receiving annual 
salaries of $2,400 or over on that date, or at date of separation (shown in brackets) : 
R. Sharp, Chief Inspector, 86.000; J. C. Anderson, S3.240; R. E. Andrews, S3,240; R. M. Baird, 
$2380; J. E. Beauvais, $2,760 (July 15); J. A. Berthiaume, 82,760; T. W. Bullock, S5.700; 
H. W. Calver, $2,400; H. T. Chiffe, *2.400; C. H. Day, $3,600; L. S. Drummond. S2.400; J. J. 
Duff. S2.400; A. C. Farquharson, 83.240; G. A. Fellowes, $2,880; G. E. Footit, S2,520; 
D. J. Gill. S2.400; A. Gray, S4.0SO; C. E. Gruson, S3.240; J. F. Harmer. S2,520; J. H. II tyes, 
$3,600; H. C. Hogarth. 84.110; E. Illingworth, S2.880; X. Johnson, $2,400; T. X. Kirby, 
$2,880; J. E. P. L< Boeuf, $2,400; R. A. Lefebvr< . $2,760; H. G. Lewis. $2,520 (Nov. 14); 
C. H. MacDonald, $4,920; T. F. Mackay, $3,240; G. W. A. MacKenzie, $2,400; \Y. A. 
MacKinnon. $3,240; J. C. McCay, $2,400; F. C. Meahan, $3,240; E. Oakes. $3,600; P. H. 
Otterdahl, $2,400; H. A. Parker. $3,240; A. Pearl. S2.400; R. Pcntland, $3,600; H. F. Pinhey, 
$2,760; D. R. Pook. $2,400; H. D. Poole. S2.400; B. Pykc, S3.240; K. L. Reid. S2,520; 
J. A. L. Ross, S2,520; C. G. Rounding. S2,400; J. F. Russell, S3.000; A. M. Simpson. 
$3,600; W. O. Simpson, S4,620; W. S. Stone, S3,000; R. Swift, $4.0S0; W. II . H. Way. $3,240. 

D Payments of $300 or over were made to the following: L. C. Allen. $474.46; H. C. 
Hogarth, $322.57; F. C. Meahan, S1.S63.16; R. Sharp. S330.46. 



238 



AUDITOR GENERAL'S REPORT 



Vote 200 District Offices 2,836,958 00 

Vote 431 Further amount required 81,000 00 

Vote 501 Further amount required 304,850 00 

3,222,808 00 

Expenditures 3,214,049 27 

Lapsed $ 8,758 73 



Estimates 
details 

A Permanent Salaries 1,608,744 00 

B Temporary Assistance 1,291,690 00 

C Printing and Stationery 150,000 00 

D Travelling Expenses 50,000 00 

E Telegrams and Telephones 15,000 00 

F Postage 91,000 00 

G Law Costs 2,000 00 

H Sundries 14,374 00 



Allotments 

authorized Expenditures 

1.804,744 00 1,804.049 12 

963,690 00 961,375 44 

289,000 00 288,901 99 

44.000 00 41.462 68 

15,000 00 13,825 07 

89,000 00 88,815 04 

3.000 00 2.862 28 

14,374 00 12.757 65 



$3,222,808 00 $3,222,808 00 $3,214,049 27 



Comments 

These votes were provided to meet the salaries (including cost of living bonuses) 
and other expenses of the several District Inspectors of Income Tax (supervising nineteen 
district offices) and their staffs engaged in maintaining tax rolls, receiving and disposing of 
income tax returns and assessments of the Dominion and of the provinces of Manitoba, 
Ontario, Prince Edward Island and Quebec, and the Yukon Territory, collecting monies 
due the Crown in respect of income taxes, excess profits tax and succession duty, maintaining 
the necessary accounts and conducting investigations at the places of business of taxpayers 
or elsewhere as occasion arose. 

A B D As of March 31, 1942, there were 976 permanent and 1,137 temporary employees 
paid from these allotments. The following were receiving annual salaries of $2,400 or 
over on that date, or at date of separation (shown in brackets), and were paid travelling 
expenses of the amounts shown: — 



Salary Travelling 
rates expenses 



Salary Travelling 
rates expenses 



Halifax: 

Coffill, A. F 

Dickson, W 

Kent, W. G 

Matheson, W. A. . 
McDonald, J. M. . 
Rutherford, D. F. . 
Silver, F. L 

Charlottetown: 

Cosh, A. B 

Dixon, J. W 

Ritchie, G. E 

Saint John: 

Belyea, J. E 

Eastabrook, F. J. . 
Eastabrooks, W. H. 



$2,640 00 
3,240 00 
4,500 00 
2.520 00 
2,400 00 
2,640 00 
2,520 00 



2,880 00 
2,520 00 
3,000 00 

2,400 00 
2,880 00 
2.880 00 



346 26 

8 41 

49 70 

118 70 

29 85 

3 05 

338 56 



66 45 

221 30 

25 90 



Masters. C. A. 

(Feb. 28) 4.020 00 

Spinney, E. B 2,400 00 

Wetmore, C. R 2,400 00 

Montreal : 

Adam, B. 2,880 00 

Alexander, J. H 3,600 00 

Allan, D. S 2,400 00 

Allen! L. C 4,500 00 

Audet, D. W 2,400 00 

Barriere, R 2.520 00 

Bedard, R 3,600 00 

Bernier, G 2,400 00 

Bielby, J. 3,240 00 

Black, F. J 2,400 00 

Booth, C. L 2.400 00 

Bourassa, R 2,640 00 



93 95 



970 89 



*43 95 

287 82 
757 60 
796 27 



37 56 



Further amount of $474.46 charged to Vote 



DEPARTMENT OF NATIONAL REVENUE 



239 



Salary Travelling 
rates expenses 



Bourgct, J. E 


. 2,880 00 




Bowden, P 


. 2,760 00 


370 65 


Buhner, A. M 


. 2,540 00 




Campbell, J. J. 






(Jan. 20) 


. 2.400 00 




Cardin, J. 


. 2,400 00 




Casselman, A. F. 


. 2,400 00 


7 48 


Castera, L 


. 2,520 00 




Chamard, W. M. . . 


. 2.400 00 


164 63 


Choquette, JL. P. A. 


. 2,760 00 


934 23 


Church, E. J 


. 2,400 00 




Clifford, F: C 


. 2,420 00 




Conklin. H. E 


. 2,520 00 


244 42 


Corry, T. C 


. 2.400 00 




Cote, W. E 


. 2.400 00 




Courtois, E 


. 2,400 00 




Dagenais, L. P 


. 2,400 00 




Dahme. L 


. 2.400 00 




Davidson, R. M. 


. 2,520 00 




DesGranges, P. Y... 


. 2,400 00 


784 39 


Drouin, P. H 


. 2,400 00 


271 28 


Dugal, P. F 


. 2.520 00 




Dugre, R 


. 2.400 00 


98 09 


Filion, L 


. 2,640 00 


228 50 


Fletcher. R. M 


. 2,520 00 




Fraser. J. W 


. 2,400 00 


1,037 58 


Fredette. F. (Jan. 14 


) 2.760 00 




Gallagher, A. J 


2.400 00 




Gascon, L. (Jan. 31) 


2.400 00 


629 10 


Gauthier, L.J 


2.400 00 




Gau\-in. P 


2.520 00 


13 03 


Gilmour, A. W 


3.000 00 


22 97 


Gregoire, J. 


2,400 00 




Gregory, N. V 


3.240 00 


28 45 


Grenier, R 


2,400 00 


313 57 


Hansen, H. A. 






(Apr. 16) 


2.400 00 




Holiday, K. G 


2.400 00 




Houghton, V. 






(military leave. 






Mar. 30) 


2,400 00 




Howell, J. G 


2.760 00 


29 70 


;>. W. J 


2.400 00 


6 33 


Jordan. J 


2.520 00 




Joubert, R 


4,620 00 


31 05 


Kirkhope. H. B. ... 


2.520 00 




Labbee, J. A 


2.400 00 


958 35 


Labelle, G 


2.400 00 




Labellc. J. Z 


3.240 00 


30 25 


Lajeunesse, P. M. . 


2,400 00 




Lavigne, E 


2,400 00 




Legault, H 


2.400 00 




Legault. J. R 


2.400 00 




Lemay, R 


2,400 00 


681 80 


Lemieux, E. A 


2,400 00 




L'Heureux. J. A 


2.640 00 




Lyonnais, R 


2.520 00 


1.054 24 


Macfie. J. D 


2.880 00 




Maheu, R 


2.520 00 


1.1S0 54 


Mander, A. H 


2,400 00 





Salary 

IMl< - 

Marchand, D. 

(Nov. 17) 2,400 00 

Martin, J. R 2.400 00 

McLaughlin, D. J. . . 2.640 00 

McMorrow, J. J 4,800 00 

Melancon, J. R 2.400 00 

Melvin, J. W 2,400 00 

Morency, M. B 2,520 00 

Morrison, J. W 3,120 00 

Mulhall, P. S 2,400 00 

Mullins, C. E 2,760 00 

Murphy. W. T 3.000 00 

Myers. W. D 3,000 00 

Nadeau, J 2,400 00 

Newton, T. C 2,400 00 

Nutt, P. K 2.520 00 

O'Brien, CD 3,240 00 

O'Neill, E. P. 

(Sept. 15) 3,200 00 

Paquin, W 2,400 00 

Peticlerc, J. C 2,700 00 

Poliquin. J. A. R. ... 2.640 00 

Pollock. D 2,400 00 

Pope. J. A 2,760 00 

Prud'homme, F. X... 2.880 00 
Pugsley, P. T. R.... 2,520 00 

Reavely, S. D 2,400 00 

Robson. L. R 2.400 00 

Rowland, A. H 6,240 00 

Roy, J. 2,640 00 

Sadler, C. G. W. 

(Mar. 27) 2.520 00 

Ste. Marie. J 2,400 00 

Stewart. O. H. 

(Jan. 20) 2,520 00 

Sumner, W. D. 

(July 31) 2.880 00 

Taylor, L 4,800 00 

Taylor. L. R 2.760 00 

Thompson, J. E. 

(Aug. 4) 2.400 00 

Turcot. W 3.240 00 

Watson, E. M 2.400 00 

Whit claw, A. W 2.400 00 

Wood. B 2.520 00 

Quebec : 

Beaubien. J. A 2.400 00 

Boldue, C. H 2.SS0 00 

Breton. R 2.400 00 

Carrier, C. W 2,880 00 

Clavet. R 2.400 00 

Coulonval. F 2.SS0 00 

Hall. J 2,880 00 

Lachance, J. E. E.... 2.400 00 

Lebeuf, G 2.400 00 

Pouliot, J. L 2.400 00 

Thivierge, P. R 2.400 00 

Van Borren, L. H.... 2.400 00 

Vincent. E. R 3.960 00 



Travelling 


1 \\>i OS 8 


394 08 


2 18 


141 20 


1,006 59 


104 30 


30 85 


100 39 


162 84 


104 57 



981 55 



200 27 



277 68 
50 78 



5 64 



70 55 



45 20 



43 75 



21 06 

48 97 
32 00 



4 4S 
2 05 



160 40 



240 



AUDITOR GENERAL'S REPORT 



Salary Travelling 
rates expenses 

Belleville : 

Gilmore, S.J 3,000 00 

Maybee, D. E 2,400 00 12 28 

Pattrick, L. C 2,400 00 

Watson, J 2,400 00 

Fort William: 

Hunter, J. C 3,000 00 76 75 

Patrick, E. R 2,400 00 1 45 

Hamilton: 

Asmussen. C. J 2.880 00 95 10 

Baldwin, H. W 2.400 00 184 80 

Ball, F. C 3,720 00 53 30 

Breakell, H. G 2,400 00 

Callaway, W. J 4,800 00 2 80 

Clancy, B. M 2.520 00 88 23 

Cockburn, T. A 2,880 00 36 00 

Creen, J. N 2,520 00 

Emerton, J. H 2,760 00 66 95 

Euler, R. D 2,880 00 158 20 

Fuller, R. S 2,400 00 19 85 

Gentle, W. J 2.400 00 2 65 

Hoyle, R 2,400 00 166 75 

Hunt, W. H 2,880 00 

Keen, A. E 2,640 00 

Madden, M. R 2,880 00 

Mellor, H. F 2,520 00 16 15 

Moore, T. G 2,400 00 

Morrissey, J. R 2,400 00 68 80 

Newlands, T. J 4,080 00 

Nicholson, Walter . . 3,240 00 244 51 

Nicholson, Wm 2,880 00 103 80 

Noxon, A. G 2,400 00 13 45 

O'Sullivan, J. E 2,400 00 

Pattison, G. B. 

(Apr. 29) 2,400 00 

Paul, C 2.400 00 294 10 

Porteous, J. L 2,760 00 9 80 

Richardson. H. A. ... 2.400 00 
Schierholtz, E.G. ... 2,880 00 27 25 

White, J. C 2,880 00 159 25 

Wren, J 2,760 00 180 05 

Kingston : 

Carson, G. E 3,420 00 98 85 

Haffner, F. A 2,400 00 5 15 

Porter, H. L 2,720 00 

London: 

• Adams, A. E 2,640 00 26 30 

Blandford, G. D. A... 2,400 00 

Booth, R. S 2,880 00 

Carom, F. P 2.400 00 

Dickinson, J. M 2,520 00 25 05 

Ellis, A. 3,840 00 55 35 

Goodbourn, W. A.... 2,400 00 1 25 

Gregory, E. T 3,000 00 17 67 

Harding, W. G. 

(Aug. 8) 3,240 00 

Hunt, R. C 2,400 00 

Karley, H. H 2,400 00 





Salary Travelling 




rates 


expenses 


Kennedy, J. C 


. 2,520 00 




Leyden, C 


. 3,360 00 


22 20 


Line, W. H 


. 2,720 00 




McLachlan, D. A. 


. 2,400 00 


39 98 


Morgan, H. G 


. 2,880 00 


40 25 


Orr, H. I 


. 4,620 00 


135 60 


Roberts, A. J 


. 2,880 00 


9 00 


Rowden, R. S. M. . 


. 2,400 00 


112 65 


Rudd, D. S 


. 2,880 00 




Sedgwick, A. V. ... 


. 2,880 00 


119 26 


Snyder, M. S. 






(Dec. 1) 


. 2,520 00 


130 20 


Weldon, F.J 


. 2,520 00 


17 10 


Wigle, J. T. N. .... 


. 2,400 00 


92 20 


ttawa : 






Ardouin, F. G 


. 2,400 00 


715 34 


Barker, J. H 


. 3,720 00 




Bernier. S. E 


. 2,400 00 


629 87 


Blanchfield, F. H... 


. 2,880 00 


363 92 


Botten, E. E 


. 3,240 00 




Boyd, H. E 


. 3,120 00 




Breckenridge, A. B. 






(Feb. 1) 


. 2,400 00 




Bull, H. F 


. 2,880 00 


408 45 


Clarke, P. L 


. 2,400 00 




Cullinan, C. B 


. 2,400 00 




Delacourt, A. F. ... 


. 2,400 00 


599 18 


Doctor, J. (Jan. 19) . 


. 2,400 00 


408 86 


Fellowes, K 


. 5,100 00 




Findlay, W. F 


. 2,880 00 


1,030 00 


Fumerton, G. E. 






(July 18) 


. 2,400 00 




Gervais, F. D 


. 2,880 00 


144 65 


Humphrys, F. A. . . . 


. 2,760 00 




Jones, J. O 


. 2,880 00 


352 89 


Laperriere, H 


. 2,880 00 


369 85 


Lemieux, C. E 


. 2,400 00 


525 75 


Matheson, H 


. 2,400 00 


495 92 


Perrott, F. R 


. 2,880 00 


354 15 


Rice, G. P 


. 2,400 00 


510 63 


Smirle, B. C 


. 2,880 00 


216 86 


Stephenson, J. J. ... 


. 2,400 00 


583 65 


Stevenson, G. L. 






(Nov. 19) 


. 2.520 00 


67 00 


Turgeon, E 


. 2,760 00 


902 38 


Van Dusen, F. L. 


. 2,400 00 


535 43 


oronto : 

Adam, W. H 


. 2,920 00 




Ahara, R. L 


. 2.520 00 


20 45 


Alexander, R. C. ... 


. 2,400 00 




Allen, R. O 


. 2,880 00 




Baillie, G. A 


. 2,880 00 


42 55 


Barclay, G. F 


. 2,400 00 


42 65 


Bartlett, H. F 


. 2,520 00 




Beer, F. G 


. 4,500 00 


28 00 


Brechin, H 


. 3,000 00 




Butler, W. E 


. 2,400 00 




Callawav, A. (Feb. 3) 2,760 00 




Campbell, D. W. . . . 


. 2,400 00 





DEPARTMENT OF NATIONAL REVENUE 



241 



Salary Travelling 
rates expenses 

Coulter, D. M 2,760 00 

Crawley, N. L 2,400 00 

Cross, R. W 2,400 00 

Down, A 2.400 00 

Dunkley, H. W 2,640 00 

Epps, E. R 3,240 00 

Farrell, G. S 2,400 00 

Fenny, W. G 2.760 00 

Fickee, R. H 2,520 00 75 65 

Field, E. M 2,520 00 

Finlayson, J. R 2.880 00 

Fraser, W.B.J 2,760 00 

Gellatly, M. R 2.880 00 

Gibson, J. F 4,800 00 67 10 

Gillies, J 2,880 00 

Graham, F.J 4,620 00 

Grandin, T. (Oct. 1). 2,400 00 22 00 

Harris. H. F. 

(Mar. 13) 2,880 00 

Hawley, J. S 2,760 00 6 75 

Henry, C. E 2,400 00 

Hcthrington, A. S. . . 2,760 00 

Hogg, L. F 2,520 00 

Hopkins, F. P 3,180 00 

Home, A. C. W 2.880 00 

Hume, J. S 2,520 00 

Hunt, A. M 2,520 00 

Hunter, C. J 2,880 00 

Hutchison. A 4.800 00 130 45 

Inrig, W. D 2.880 00 

Jeffery, H. J 2.880 00 45 90 

Johnson, F. J 2.880 00 

Johnston. W. M 2,400 00 

Kemp, E. N 2,520 00 

Kirk, R 2,400 00 

Lambert. J. F 2.880 00 

Lewis. R.N 2.400 00 

Lyon, W. H 2,400 00 

Macdonald, G. G. ... 2,880 00 

Macdonald, J. P 2,880 00 

MacKenzie, L. V. ... 2,520 00 

Maynard, A. H 2,400 00 

McCann, J. E 2.760 00 

McCarthy, F. W. . . . 3,240 00 
McClellan, G. B. . . . 2,700 00 
McDonald. G. C. ... 3,240 00 

McDonald, J. A 2.8S0 00 

McDonald, T. A. ... 3,240 00 

McGovern. P. C 2.400 00 

McLachlan, D. G. ... 2,880 00 
McLachlin. A. H. . . . 3.240 00 

McLeod, N. R 2.880 00 

Montgomery, S 2,400 00 

Muir. J. E 4,140 00 

Xewall, B. B 2.400 00 

Newfeld. J. A 2.400 00 

Nott, J. W 2.400 00 

O'Sullivan. F. W. . . . 2.SS0 00 
Paterson, H. D 6.360 00 90 00 



Salary Travelling 





rates 


expense - 


Patrick, G. M 


. 3,000 00 


124 95 


Peaker, L. R 


. 2,880 00 




Pirie, A. J 


. 2,880 00 




Reeves, J. 8 


. 2.880 00 


28 15 


Roberts, J 


. 3,600 00 


36 65 


Ronaldson, T. S. 


. 2.400 00 




Sanderson, H 


. 2,880 00 


7 55 


Spence, G. L 


. 2,400 00 




Staples, W. A 


. 2,880 00 




Stewart, G. A 


. 2,400 00 




Thomson, J. M 


. 2,400 00 




Toman, L. K 


. 2.880 00 




Turner, T. W 


. 2,880 00 




Tyndall, C. L 


. 3,240 00 




Waddington, M. W. 


. 3,240 00 




Wait, R. J 


. 2,520 00 




White, G. C 


. 2,760 00 




Wilson, G 


. 2,460 00 




Woodley, R. G 


. 3,720 00 


49 45 


Yeo, C. W 


. 2,880 00 




Yorston, J. A 


. 2,760 00 




Winnipeg: 






Abbott. J. W 


. 2,400 00 


160 20 


Baker, W. H 


. 2,520 00 




Burgess, H. C 


. 2,520 00 




Bushby, A 


. 2,880 00 


218 50 


Chudleigh, H. E. . . . 


2,400 00 




Cotter. C. H 


. 2,880 00 


110 75 


Dott, R. M. M 


. 2,520 00 




Fleming, J 


. 2,400 00 




Fletcher, R. V 


. 2.520 00 


238 85 


Gerrie, C. N. 


2,880 00 




Grant, W. C 


4.080 00 




Green, F. L 


2.520 00 




Guthrie, R 


2,400 00 


71 25 


Halliday, J. M 


2,520 00 


342 02 


Hansen, H. E 


2,400 00 




Hay. A 


2.880 00 




Hemmeon, A. J. . . . 


3.240 00 




Jackson, T. C 


2.880 00 




Johnston, L. H 


2.880 00 




Kinniburgh, W. A. . 


3,240 00 




Lang, F. A. (Dec. 27) 


2,520 00 




Lillie, J 


2.400 00 




Lowery, E. W 


5,100 00 


28 25 


McKay, M. E 


2,400 00 


16S 95 


Mills, A 


2,400 00 




Munro, G. F 


2,880 00 




Xeil, A. V 


2,400 00 


381 94 


Paterson, D 


2,400 00 




Pawlett, T. C 


2.8S0 00 




Pawlik, A. (; 


2,400 00 




Read,C. A. (May 23) 


2.400 00 




Smith, J. H 


2.400 00 


S52 60 


Wadge,W.O 


2,400 00 




Walton, R. H. G. ... 


2,400 00 




Weaver, L 


2.SS0 00 




Wookev. H.J 


2.520 00 


192 40 


Wylie, J 


2.700 00 





242 



AUDITOR GENERAL'S REPORT 



Salary 
rates 

Regina : 
Collingwood, J. 

(Nov. 11) 3,020 00 

Cullum-Bird, E 2,400 00 

Gerrand, E. W 3,020 00 

Laban, A. V 2,400 00 

Symons, P 2,880 00 

Saskatoon : 

Ayton, C. H 3,320 00 

Harris, E. A 2,400 00 

Home, A.J 2,400 00 

Calgary : 

Alexander, C 4,500 00 

Bailey, W. H 2,520 00 

Craig, D. C 3,240 00 

Larbalestier, C. H. . . 2,520 00 
McLellan, G. R. 

(Oct. 16) 2,400 00 

Morrice, A 2,400 00 

Nelson, S. S 2,880 00 

Pyle, H. J 2,880 00 

Richards, C 2,400 00 

Roberts, F. A 2,880 00 

Sparrow, H. C 2,880 00 

Edmonton : 

French, M. C 2,400 00 

Gee, G. E 2,400 00 

Ladler, A. E 2.880 00 

Skinner, W. G 3,140 00 

Thomson, R. D 2,400 00 

Vancouver : 

Brown, J 2,400 00 

Burton, J. D 2,400 00 

Carter, G. W. J 3,000 00 



Travelling 


expenses 


124 92 


• 23 37 


4 66 


18 90 


334 98 


14 34 


16 95 


115 15 



75 15 



72 10 



2 70 
26 79 



Salary Travelling 
rates expenses 

Chambers, C. G. 

(Dec. 27) 2,760 00 250 95 

Chidwick, C. R 2,880 00 1 00 

Clark, K. G 2,400 00 19 20 

Cowan, G 2,520 00 

Dobson, L. S 3,240 00 

Edwardson, H. W. . . 2,400 00 200 27 

Findlay, J 2,520 00 

Findlay, W 2,880 00 

Golumbia, S. P 2,400 00 1 25 

Griffin, F. B 2,880 00 

Grover, F. J 4,140 00 

Hayter, A. W 2,760 00 

Laundy, C. E , 2,520 00 37 05 

Lee, N 5,100 00 437 76 

McKenna, J. J 2,400 00 82 40 

Murphy, L. F 2,400 00 

Peers, R. D. 

(Jan. 28) 2,760 00 113 47 

Pratt, H. B 2,400 00 79 30 

Ralls, S. W 2,880 00 

Rathie, W. G : . 2,400 00 2 05 

Rising, P 2,880 00 

Sheppard, D. H 2,880 00 93 07 

Sibary, W. G 2,880 00 49 60 

Stevens, J. S 3,240 00 108 32 

Stokes, B. E. 

(Jan. 28) 2,520 00 42 40 

Thomas, D. 2,400 00 23 60 

Thompson, W. G. . . . 2,520 00 
Willcox, R. J 2,400 00 

Dawson : 

Grant, C 2,400 00 

Livingston, D. H. (in- 
cludes living allow- 
ance at $1,200 per 
annum) 2,820 00 123 95 



C Distributed as follows: Printing, etc., $150,191.85, and stationery, $138,710.14 (including 
$68,561.46 for the acquisition, inspection, and repair of, adding, accounting, calculating 
and duplicating machines, and typewriters). 

D In addition to the travelling expenses shown in the statement under A B D above, 
payments of $300 or over were made to the following: A. J. Douglas, $305.74; C. W. 
Gossage, $365.82; A. F. Munroe, $411.31; R. Patenaude, $644.46; C. J. Scott, $714.06; 
R. Senecal, $884.89; A. C. Tate, $466.90. 

F The expenditures under this allotment include $1,838.88 paid for short-paid postage on 
mail received from the public. 

H The charges to this allotment include: car and bus fares, $1,436.71; cartage, express 
and freight, $1,403.73; death gratuities of deceased employees, $2,176.64; excise tax 
stamps, $1,599.51 (placed on cheques received from taxpayers, by mail, without the 
required stamps affixed thereto); laundry and towel service, $1,749.35; purchase and rental 
of postage meter machines, etc., Canadian Postage Meters and Machines Co., Ltd., 
Toronto, $1,774.85. 



DEPARTMENT OF NATIONAL REVENUE 243 

GENERAL 

Vote 201 Amount to be paid to the Department of Justice to be dis- 
bursed by and accounted for to it for Customs Excise and 

Income Tax Secret Investigation Services 15,000 00 

Expenditures 1,168 60 

Lapsed $ 13,831 40 

Comment 

Apportioned as follows: Customs and Excise, $968.60; Income Tax, $200. 

SUPERANNUATION, RETIREMENT, AND OTHER BENEFITS 
Gratuities to families of deceased employees, Civil Service Act, c. 22, R.S. $ 11,070 00 



DEPARTMENT OF NATIONAL WAR SERVICES 

REVENUES 



Details 



1941-42 



1940-41 



Ordinary Revenue — 

A Documentary Films 

B Photographs 

C Pamphlets and Publications 

D National Film Board 

E Motion Picture Bureau 



Refund of the previous fiscal year's expenditure is shown in the War Expenditures 
section of this report. 





112 45 


445 26 


63 80 


43 03 


105 06 


11,210 98 


6,266 50 


7,568 64 


58,027 95 


$ 19,267 91 


$ 64,575 76 



Certified correct. 



L. R. LAFLECHE, 
T. C. DAVIS, 

Associate Deputy Ministers of 
National War Services. 

JOHN GRIERSON, 

Government Film Commissioner. 



In accordance with the provisions of 
Section 45 (1) of the Consolidated Revenue 
and Audit Act, I have satisfied myself 
that the above revenues for 1941-42 have 
been fully accounted for. 



WATSON SELLAR. 

Auditor General. 



Comments on Revenues 



B C Proceeds were received from the sale of still photographs to the public and from 

gratuitous donations. 
D E These receipts were derived from the sale, rental, and distribution of films. 

APPROPRIATIONS AND EXPENDITURES 

Appropriations of $726,576.67 were included in the Estimates; $198,910 was voted to 
the Department of Trade and Commerce; $518,000 to the Department of Transport; and 
$9,666.67 authorized by Statute. Votes of the above Departments were transferred to the 
Department of National War Services during the fiscal year. Expenditures amounted to 
$682,058.29. 

No. of 
Vote 

Statutory 
Statutory 



344 

348 

405] 

4321 



Services Appropriations 

Salary of Minister — Salaries Act, c. 
182, R.S., as amended, c. 40, 1940 8,055 56 

Motor Car Allowance to Minister, 
Appropriation Act, No. 5, c. 61, 
1931 1.611 11 

Motion Picture Bureau 159.810 00 

National Film Board 39,100 00 



Expenditures 



S.055 56 



Lapsed 



Canadian Travel Bureau Service 



518,000 00 



1,611 11 

148,857 92 
39,016 55 

484,517 15 



10,952 08 
83 45 

33,482 85 



$ 726,576 67 $ 6S2,058 29 $ 44,518 38 



Certified correct. 



B. G. McINTYRE, 

Comptroller of the Treasury. 



The above accounts have been examined 
and audited under my direction, in accord- 
ance with the provisions of the Consoli- 
dated Revenue and Audit Act, and subject 
to the observations in this report, I certify 
that in my opinion they are correct. 
WATSON SELLAR, 
Auditor General. 



244 



DEPARTMENT OF NATIONAL WAR SERVICES 



245 



War Expenditures 

War expenditures by the Department of National War Services are detailed in the 
War Expenditures section of the report. 

Salary of Minister — Salaries Act, c. 182, R.S., as amended, c. 40, 1940. .$ 8,055 56 

Motor Car Allowance to Minister — Appropriation Act No. 5, c. 61, 1931. . .$ 1,611 11 

Comments on Expenditures 

The Hon. J. T. Thorson received salary at the rate of $10,000 per annum and motor 
car allowance at £2,000 per annum from June 11, 1941. 

Travelling expenses are detailed in the Departmental Administration allotment under 
tin War Appropriation section of the report. 



Vote 344 Motion Picture Bureau 159,810 00 

Expenditures 148,857 92 

Lapsed $ 10,952 08 

Estimates Allotments 

details authorized Expenditures 

A Salaries 70,256 00 77,371 00 77,370 59 

B Short Term Employment 29,000 00 19,000 00 15,899 60 

C Supplies, Materials, Printing, Stationery, etc. 30,000 00 34,470 00 71,039 04 

D Equipment, etc 10,000 00 6,245 00 42,114 60 

E Express, Freight, Cartage, Customs Duties, 

etc 4,000 00 4,000 00 3,175 33 

F Telegrams, Telephones, etc 500 00 3,895 00 3,893 73 

G Travelling Expenses 3,500 00 7,275 00 7,272 95 

H Miscellaneous (including recording royalties, 
music clearance, fees for narrators, com- 
posers, musicians, scenarists, actors, tech- 
nicians, etc.) 12,554 00 7,554 00 1,231 44 

221.997 28 
Less revenue credited to C and D 73,139 36 



$ 159,810 00 $ 159,810 00 $ 148,857 92 



Purpose for which Vote was Provided 

By Orders in Council P.C. 3549, June 11, 1941, and P.C. 6047, August 8, 1941, the activities 
of the Motion Picture Bureau were transferred to the control and supervision of the National 
Film Board. Votes of the National Film Board and the Motion Picture Bureau, accordingly, 
were used for the same purpose. (See National Film Board Vote 348.) 

Comments on Expenditures 

A There were 50 employees on March 31, 1942. The following were receiving annual salaries 
of S2,400 or over on that date, or at date of separation (shown in brackets) : F. C. Badgley, 
Director, S4,620; W. S. Carter, $3,600; A. P. Cote, S3,600 (Oct. 1); E. M. Finn, S3,1S0; 
S. H. Hollebone, S3,000; W. H. Lane, S2,SS0; R. McLean, S4,500; C. J. Quick, S2.SS0; 
J. B. Scott, S3,4S0; A. M. Shaw, S3,000; E. R. Wilson, $2,SS0. 

C D H Payments in excess of S5,000 were made to the following: Canadian Kodak Sales 
Ltd., Toronto, $57,533.38; DeLuxe Laboratories Inc., New York, $7,975.79; Dominion Sound 
Equipments Ltd., Montreal, SS,S29.56. 

G Travelling expenses in excess of S300 were paid as follows: P. J. George, $1,061.62; 
J. Gnerson, S4,403.95 {Sec also National Film Board Vote 348) ; W. Greene, $877.44. 



246 AUDITOR GENERAL'S REPORT 

Vote 348 National Film Board 39,100 00 

Expenditures 39,016 55 



Lapsed $ 83 45 



Estimates 
details 

A Salaries 6.600 00 

B National Film Programme 27,500 00 

C Transportation and Travelling Expenses . . . 2,000 00 

D Telegrams, Telephones, Postage 1,500 00 

E Miscellaneous 1,500 00 



Allotments 




authorized 


Expenditures 


7,935 00 


7,933 40 


22,984 00 


22,903 26 


3.285 00 


3,284 22 


1,795 00 


1,794 81 


3,101 00 


3,100 86 



$ 39,100 00 $ 39,100 00 $ 39,016 55 



Purpose for which Vote was Provided 

Salaries and expenses covering the cost of production and distribution of national films 
and still pictures used for the purpose of advertising Canada, and promoting national unity. 
Expenditures of administration and direction in the production of films for the various 
departments of Government — the actual production costs of which were recovered from those 
authorizing the productions. By Orders in Council P.C. 3549, June 11, 1941, and P.C. 6047, 
August 8, 1941, the Motion Picture Bureau was transferred to the administration, control, 
and supervision of the National Film Board. 

Comments on Expenditures 

A This amount was paid 'to J. Grierson, Government Film Commissioner, who was receiving 

an annual salary of $10,000 on March 31, 1942. 
C Travelling expenses in excess of $300 were paid as follows: D. Cameron, $839.13; 

J. Grierson, $1,583.22 (See also Motion Picture Bureau Vote 344). 

GENERAL 

Comprehensive motion picture programs were undertaken and motion pictures produced 
by the National Film Board during the fiscal year. Charges were recovered from the follow- 
ing Government departments in the amounts shown: Agriculture, $1,049.36; Finance, 
$105,042.74; Munitions and Supply, $15,038.26; National Defence, $48,034.98; National 
Revenue, $75; National War Services — Canadian Travel Bureau, $22,882.80, Public Informa- 
tion (detailed in the War Expenditures section); Pensions and National Health, $1,008.18; 
Post Office, $16,421.42; Public Works, $2,051.46; Trade and Commerce, $119.34; Transport, 
$388.44. Payment was also received from the following: University of Toronto, $250; Cana- 
dian Red Cross Society, $250; Trans-Canada Air Lines, $5,919.21. Donations were received 
as follows: Canadian Car and Foundry Co. Ltd., Montreal, $1,000; Canadian Vickers Ltd., 
Montreal, $1,000; Clark Ruse Aircraft Ltd., Montreal, $1,000; De Havilland Aircraft of 
Canada Ltd., Toronto, $1,000; Fairchild Aircraft Ltd., Longueuil, P.Q., $1,000; Fleet Aircraft 
Ltd., Fort Erie, $1,000; MacDonald Bros. Aircraft Ltd., Winnipeg, $1,000; MacKenzie Air 
Service Ltd., Edmonton, $1,000; National Steel Car Corporation Ltd., Montreal, $1,000; 
Noorduyn Aviation Ltd., Montreal, $1,000. 

Payments over $5,000, in connection with tiie above, were as follows: Associated Screen 
News Ltd., Montreal, $107,243.71; Crawley Films Ltd., Ottawa, $8,535.76; Walt Disney Studios, 
Burbank. California, U.S.A., $10,337.34; Technicolor Motion Picture Corp., Hollywood, Cali- 
fornia, U.S.A., $9,396.80; Vancouver Motion Pictures Ltd., Vancouver, $5,842.94. 

Vote 405 Canadian Travel Bureau Service 500,000 00 

Vote 432 Advertising and Publicity Supplement 18,000 00 

518,000 00 
Expenditures 484,517 15 

Lapsed $ 33,482 85 



DEPARTMENT OF NATIONAL WAR SERVICES 247 

Estimates 

details 



A Salaries 40,265 00 

It Advertising and Publicity 426,000 00 

C Publications 37,000 00 

I) Printing and Stationery 7,000 00 

E Travelling Expenses 2,500 00 

F Sundries 5,235 00 



authorized 


Expenditures 


1 1 ,S65 00 


1 1 329 34 


426,000 00 


407,347 74 


32,650 00 


22.517 56 


7,000 00 


3.488 14 


4,900 00 


3,730 67 


5,585 00 


5,573 71 



$ 518,000 00 $ 518,000 00 $ 484,517 



Purpose for which Vote was Provided 

Salaries and expenses to promote tourist business in Canada, including costs of adver- 
tising and publicity. 

Comments on Expenditures 

A There were 26 employees on March 31, 1942. The following were receiving annual salaries 
of S2,400 or over on that date: D. L. Dolan, Director, $7,000; G. G. Fraser, S3,000; C. K. 
Ib.ward, $3,000; H. A. McCallum, $4,020; J. J. O'Keefe, $3,000; H. A. Underwood, $3,000. 

B Cockfield Brown & Co. Ltd., Montreal, received S362,872.93 for the insertion of adver- 
tising in a diversified number of newspapers and magazines in the United States, and for a 
reprint of the tourist booklet ''Canada Calls You". Payment of $10,946.16 was also made 
to Stevenson & Scott Lfcd., Montreal, for advertisements inserted in United States publica- 
tions. To provide an opportunity for seeing at first hand Canada's wartime activities an 
accountable payment of $5,000 was made to the Province of Quebec to assist in financing 
the cost of bringing into Canada, for their annual convention, approximately 375 members 
of the National Editorial Association of the United States. Motion pictures amounting 
to $22,882.80 were produced by The National Film Board and distributed throughout Canada 
and the United States. For advertising and publicity work, Mrs. G. I. Campbell, serving 
without remuneration, received as travelling expenses, $1,182.74. 

C Newsletters, folders, roadmaps, etc., used as advertising media were distributed to tourist 
information bureaus, civic chambers of commerce, automobile and fishing clubs, etc., in 
the United States. In this connection the King's Printer received $20,576.94. 

D Payment of the entire expenditure was made to the King's Printer. 

E Travelling expenses in excess of $300 were paid as follows: D. L. Dolan. Sl.778.64; H. A. 
McCallum, $302.82; H. A. Underwood, $421.18. 

F This covers the cost of the following items: freight and express, $4,473.74; telephones 
and telegrams, $390.95; miscellaneous, $709.02. 



DEPARTMENT OF PENSIONS AND 
NATIONAL HEALTH 

REVENUES 

Summary 

1941-42 1940-41 
Ordinary Revenue — 

Sick Mariners' Dues 400,069 17 314,899 67 

Casual Revenue 244,111 25 231,881 22 

Fines and Forfeitures 12,035 08 9,193 22 



$ 656,215 50 $ 555,974 11 



Details 

A Sick Mariners' Dues — Dues Collected: Nova Scotia, 
$310,223.17; Prince Edward Island, $421.86; New Bruns- 
wick, $15,698.50; Quebec, $46,667.96; British Columbia, 

$27,057.68 400,069 17 

Casual Revenue — 

B Licence and Registration Fees: Food and Drugs Act, $490; 
Opium and Narcotic Drugs Act, $3,330; Proprietary or 
Patent Medicine Act, $5,513.89 9,333 89 

C Analysis Fees— Food and Drugs Act 2,135 00 

D Fumigation and Inspection of Ships 13,132 58 

E Miscellaneous: Rental of launch, $1,800; Maintenance of 

seamen at Sick Mariners' Clinic, Halifax, $153 1,953 00 

F Refunds of Previous Years' Expenditures 217,556 78 

244,111 25 

G Fines and Forfeitures: Food and Drugs Act, $6,531.95; 
Opium and Narcotic Drugs Act, $5,493.13; Proprietary or 
Patent Medicine Act, $10 12,035 08 



$ 656,215 50 



In accordance with the provisions of 
Certified correct. Section 45 (1) of the Consolidated Revenue 

and Audit Act, I have satisfied myself that 
R. E. WODEHOUSE, the above revenues for 1941-42 have been 

Deputy Minister of Pensions fully accounted for. 



and National Health. 



WATSON SELLAR, 

Auditor General. 



Comments 

A Tonnage duties are levied on ships arriving at Canadian ports under authority of Part V 
of the Canada Shipping Act, Chap. 44, 1934. Sick mariners employed on board and 
belonging to ships on which such duties have been paid are provided with gratuitous 
medical and surgical treatment. The expenditure incurred in treating sick mariners 
amounted to $385,070.14 during the fiscal year; vide expenditure details of Votes No. 224 
and No. 434. 

F These refunds represent amounts received for treatment services rendered, $76,645.85; 
recoveries of overpayments and re-deposited cheques for (a) Pensions, $56,392.41; (b) 
War Veterans' allowances, $31,198.89; (c) Unemployment assistance, $12,829.75; Refunds 
of unused grants, Veterans' Assistance Commission, $28,714.78; and miscellaneous receipts, 
$11,775.10. 

248 



DEPARTMENT OE PENSIONS AND NATIONAL HEALTH 249 

APPROPRIATIONS AND EXPENDITURES 

A total of $57,1S3,940.42 was available for expenditure on account of the Department 
of Pensions and National Health, of which $55,463,585.26 was provided in the annual appro- 
priation Acts and $1,720,355.16 was authorized by continuing statutory provisions. Expendi- 
tures were $54,664,391.88 for the fiscal year 1941-42, a decrease of $1,496,777.17 from those 
of 1940^1. 

In addition, a total of $5,984,250 was allotted to the Department from War Appropriation. 
Expenditures thereunder, amounting to $5,612,991.83, are shown in the War Expenditures 
section of this report. 

No. of 
Vote Services Appropriations Expenditures Lapsed 

Statutory Salary of Minister, Salaries Act, 

c. 182, RJS 10,000 00 10,000 00 

Statutory Motor Car Allowance to Minister, 
Appropriation Act, No. 5, c. 61, 

1931 2,000 00 2,000 00 

202) 

502) Departmental Administration ... . 122,46000 120,75465 1,70535 

PENSIONS BRANCH 

203 1 

420j Pensions Branch Administration.. 924,203 85 916,367 67 7,836 18 
Canadian Pension Commission — 
Statutory Salaries of Commissioners — Pen- 
sion Act, c. 157, R.S. and amend- 
ments 50,642 44 50,642 44 

204 Administration expenses 456,000 00 415,540 14 40,459 86 

205 War Veterans' Allowance Board 192,565 00 163,992 54 28,572 46 

Direct Payments to Veterans 
and Dependents 

206 European War Pensions 39,600,000 00 38,903,464 24 696,535 76 

207 War Veterans' Allowances 7,800,000 00 7,139,999 16 660,000 84 

208 Unemployment Assistance 1,100,000 00 408,42161 691,578 39 

209 Hospital and Other Allowances.. 600,000 00 531,137 65 68,862 35 

Services to Veterans and 
Dependents 

210 ( Jare of Patients 2,923,028 00 

211 Veterans' Bureau 171,780 00 

212 Employers' Liability Compensa- 

tion 50,000 00 

213 Grant to the Last Post Fund .... 85,000 00 

214 (irant to Canadian Legion 9,000 00 

503) 

433) Veterans' Welfare Division 88,760 00 

II HALT H BRANCH 

215 Health Branch Administration.. 49,570 00 

216 Food and Drugs 172,690 00 

217 Opium and Narcotic Drugs 61,065 00 

218] 

420 \ Proprietary or Patent Medicines 15,423 41 

219 Quarantine and Leprosy, includ- 

ing contribution of $1,500 to 
tin 1 Inteinational Bureau of 
Public Health 14S,580 00 

220 Laboratory of Hygiene 118,390 00 

221 Immigration Medical Inspection 81,495 00 

59727—17 



2,710.618 48 
154,296 53 


212,409 52 
17,483 47 


40,096 72 

85,000 00 

9,000 00 


9,903 28 


81.107 60 


7,652 40 


45,804 91 

172,320 14 

59.159 03 


3.765 09 

369 86 

1,905 97 


15,030 29 


393 12 


145,501 39 
115,559 67 

61,630 59 


3.078 61 

2.830 33 

19,S64 41 



250 



AUDITOR GENERAL'S REPORT 



No. of 
Vote 

222 
223 

224) 

434] 

225 

226 

435 

227 

228 



229 
230 

231 
232 

233 

234 
235 

236 
237 

238 
239 



Services Appropriation 

Child and Maternal Hygiene... 24,895 00 

Public Health Engineering 34,920 00 

Treatment of Sick Mariners .... 406,470 00 

Industrial Hygiene 11,230 00 

Medical Investigations 34,810 00 

Nutrition Services 10,000 00 

Venereal Diseases 50,000 00 

Grants to Institutions Assisting 

Sailors, in the amounts detailed 

in the estimates 2,600 00 

MISCELLANEOUS GRANTS 

Canadian Welfare Council 8,100 00 

Canadian National Committee for 

Mental Hygiene 10,000 00 

Health League of Canada 5,000 00 

Canadian National Institute for 

the Blind 18,000 00 

L'Association canadienne franc- 

aise des aveugles 4,050 00 

L'Institut Nazareth de Montreal 4,050 00 
Montreal Association for the 

Blind 4,050 00 

Canadian Tuberculosis Association 20,250 00 

Victorian Order of Nurses 13,100 00 

St. John Ambulance Association 4,050 00 

Canadian Red Cross Society.... 10,000 00 



Expenditures 


Lapsed 


22,106 18 
33,368 44 


2,788 82 
1,551 56 


385,070 14 
7,294 99 

24,007 34 
7,134 46 

49,408 82 


21,399 86 
3,935 01 

10,802 66 

2,865 54 

591 18 



2,600 00 



8,100 00 

10,000 00 
5,000 00 

18,000 00 

4,050 00 
4,050 00 

4,050 00 
20,250 00 
13,100 00 

4,050 00 
10,000 00 



PENSIONS AND OTHER BENEFITS 

240 Pensions payable to men on Active 
Service, Northwest Rebellion, 
1885, and general pensions.... 18,000 00 17,593 34 

Statutory Militia Pension Act, 1901, c. 133, 

R.S 1,648,362 80 1,648,362 80 

Statutory Annuity to Col. John T. C. 
Thompson, Appropriation Act, 
No. 3, c. 53, 1939 4,999 92 4,999 92 



406 66 



SUPERANNUATION AND RETIREMENT 
BENEFITS 

Statutory Gratuities to families of deceased 
employees, Civil Service Act, 
c. 22, R.S 



4.350 00 



4,350 00 



Total $57,183,940 42 $54,664,391 88 $2,519,548 54 



Certified correct. 



B. G. McINTYRE, 

Comptroller of the Treasury. 



These accounts have been examined and 
audited under my direction in accordance 
with the provisions of the Consolidated 
Revenue and Audit Act, and subject to the 
observations in this report, I certify that 
in my opinion they are correct. 

WATSON SELLAR, 
Auditor General. 



DEPARTMENT OF PENSIONS AND NATIONAL HEALTH 251 

Salary of Minister — Salaries Act, c. 182, R.S $10,000 00 



Comments 

The above noted salary was paid to the Honourable I. A. Mackenzie. 
Motor Car Allowance to Minister — 'Appropriation Act, No. 5, c. 61, 1931. . .$ 2,000 00 



Vote 202 Departmental Administration 114,460 00 

Vote 502 Further amount required 8,000 00 



122,460 00 
Expenditures 120,754 65 



Lapsed $ 1,705 35 



Estimates Allotments 

details authorized Expenditun a 

A Salaries 112,460 00 110,460 00 109,531 43 

B Telephones, Telegrams and Postage 2,000 00 3,500 00 3,352 11 

C Equipment 500 00 500 00 500 00 

D Sundries 3,500 00 

E Transportation and Travelling Expenses... 4,000 00 8,000 00 7,37111 



$ 122,460 00 $ 122,460 00 $ 120,754 65 



Comments 

K As of March 31, 1942, there were 48 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date, or at date of separation (shown 
in brackets): R. E. Wodehouse, Deputy Minister, $9,000; W. S. Woods, Associate Deputy 
Minister, S8,000; H. A. Bridges, $4,140 (appointed Canadian Pension Commissioner, 
Sept. 1); G. A. Browne, $3,240; A. J. Dixon, $4,500; M. A. Dixon, $3,600; E. C. Forrest, 
12,400; W. H. George, $4,500; W. G. Gunn, $3,600; G. Leyden, $2,100, private secretary's 
allowance, $600; J. W. McKee, $6,000; D. F. Rowe, $3,600; C. N. Senior, $4,080; R. K. 
Walker, $3,000; A. H. Ward, $3,000. 

E Travelling expenses of $300 or over were paid as follows: Hon. I. A. Mackenzie, $3,524.15; 
J. W. McKee, $340.52; C. N. Senior, $649.10. 



PENSIONS BRANCH 
ote 203 Pensions Branch Administration 885,034 00 

Vote 420 Cost of Living Bonus — Supplement 39,169 85 



924,203 85 
Expenditures 916,367 67 



Lapsed $ 7,836 18 

59727— 17J 



252 



AUDITOR GENERAL'S REPORT 



Estimates 
details 

A Salaries 720,034 00 

B Telephones, Telegrams and Postage 23,000 00 

C Equipment 13,000 00 

D Lands and Equipment 3,000 00 

E Sundries 15.000 00 

F Professional and Special Services 3,000 00 

G Cost of Investigations by Soldier Settle- 
ment 18,000 00 

H Rents 5,000 00 

I Materials and Supplies 50,000 00 

J Freight, Cartage and Express 5,000 00 

K Transportation and Travelling Expenses.. 30,000 00 



Allotments 




authorized 


Expenditures 


775,203 85 


775,203 85 


23,500 00 


23,314 95 


19,000 00 


18,810 10 


3,400 00 


3,300 43 


15,000 00 


13,113 04 


100 00 


42 39 


5,000 00 


4,926 00 


5,000 00 


2,313 06 


60,900 00 


60,403 71 


5,600 00 


5,595 49 


11,500 00 


9,344 65 



$ 885,034 00 $ 924,203 85 $ 916,367 67 



Comments 

A As of March 31, 1942, there were 575 employees paid from this vote. The following 
were receiving annual salaries of $2,400 or over on that date, or at date of separation 
(shown in brackets): P. Ackerley, $2,400; J. D. Anderson, $3,000; C. G. Arthur, $4,140,' 
living allowance, $300; W. H. Ballantyne, $4,920; K. R. Berkley, $2,400; G. H. Boyd, 
•$5,120; F. W. Butson, $2,400; M. A. Carmichael, $4,140 (Nov. 1. See also Vote 210); 
C. W. Carter, $3,720; E. N. Chesham, $3,000; S. G. Churchward, $2,400; W. T. Colclough, 
$2,400; H. L. Collins, $2,400; W. H. Cross, $2,400; E. B. Davies, $2,400 (Jan. 1. See also 
Vote 215); G. C. Derby, $4,920; W. D. Dewar, $2,400; T. Fenton, $3,720; W. L. Fleming, 
$2,400; S. T. French, $2,400; J. C. Garner, $2,400; K. M. Garrett, $2,400; J. T. Gibaut, 
$3,720; J. Haslett, $2,400; W. B. Hicks, $3,600; R. H. Hill, $3,120; W. H. Kilgour, $2,700; 
S. E. Lambert, $2,400; H. M. Logan, $2,400; W. R. B. Lugar, $2,400; M. A. MacAulay, 
:$4,920 (July 31); A. E. MacGregor, $3,180; A. B. Martin, $2,880; C. McMane, $5,700; 
A. U. Meikle, $4,320; G. R. Middleton, $3,000, living allowance, $100; E. H. Minns, $3,720; 
T. Morrison, $4,380; J. P. Oliver, $4,140; F. Pate, $3,000; F. T: Pinnell, $2,400; H. P. 
Robinson, $2,400; P. E. Salter, $3,120; H. Saville, $3,000; D. Scott, $2,400; W. Tattersall. 
$2,400; A. H. Thomas, $2,400 (Dec. 1); A. P. Todd, $2,880; C. L. Tucker, $3,660; H. N. 
Welton, $2,460; G. Williams, $2,400; A. Wilson, $2,400; H. Young, $4,080 (Dec. 7). 

B Charges for the three services are: Telephones, $11,054.38; Telegrams, $1,793.06; Postage, 
$10,467.51. 

C Includes accounts of the King's Printer for equipment, $9,095.11. 

E Includes $3,608.78, covering interest credited on funds held in trust, $3,533.06 light and 
power accounts; $2,493.33 civilian labour covering char service at Christie Street Hospital, 
Toronto. 

H This was paid to the Sun Life Assurance Co., London, Eng., for rent of quarters in. 
London. 

I Includes accounts of the King's Printer for printing and stationery, $37,096.34; Photo- 
stat Corp., Rochester, N.Y., supplies, $12,962.03 

K Travelling expenses of $300 or over were paid as follows: G. C. Derby, $305.77; this 
allotment also covers cost of street car tickets, $2,355.39. 

Audit Notes 

A This vote was charged with salary payments amounting to $1,725, which were properly 
chargeable to Vote 210. 

E Payments of wages for char service at Christie Street Hospital, Toronto, continue to 
be made upon Departmental authority only. Objection to this practice was reported in 
. my report for the year 1939-40. 



DEPARTMENT OF PENSIONS AND NATIONAL HEALTH 253 

Canadian Pension Commission, Salaries of Commissioners — Pension Art, 

c. 157, R.S. and amendments $50,642 44 



Comments 

Animal salaries paid to the Canadian Pension Commissioners as at March 31, L942, or 
at date of separation (shown in brackets) were as follows: II. F. McDonald, Chairman 
$7,000; H. M. Barnes, $6,000; H. Bray. $6,000; II. A. Bridges, $6,000; I". I". Chute, $6,000; 
II. A. I,. Conn, $0,000; O. F. B. Langelier, $6,000; J. K. Matheson, $6,000; C. \Y. Peck, 
$6,000 (Apr. 26); C. B. Reilly, $6,000; Sir R. E. W. Turner, $6,000 (July 15). 



Vote 204 Canadian Pension Commission — Administration Expenses. . . 456,000 00 
Expenditures 415,540 14 



Lapsed $ 40,459 86 



Estimates 
details 

A Salaries 356,900 00 

B Telephones. Telegrams and Postage 8,000 00 

C Equipment 500 00 

D Sundries 5,000 00 

E Pensions, Retired Commissioners 

F Professional and Special Services 23,000 00 

1 ( lost of investigations by Soldier Settlement 1.000 00 

H Rents 500 00 

I Materials and Supplies 6,000 00 

J Freight, Cartage and Express 100 00 

K Transportation and Travelling Expenses.. 55,000 00 



Allotments 




authorized 


Expenditures 


356.900 00 


349.930 18 


9.000 00 


8,769 69 


500 00 


475 2S 


3.500 00 


2,091 08 


2.900 00 


2,877 66 


20,000 00 


3,572 04 


1,000 00 


798 00 


500 00 


15 00 


8.000 00 


7,647 24 


100 00 


6 42 


53.600 00 


39,357 55 



$ 456,000 00 $ 456,000 00 $ 415,540 14 



Comments 

\ As of March 31, 1942, there were 204 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date, or at date of separation (shown 
in brackets): L. T. Ainley, $4,120; H. M. Barnes, 85,220 (appointed Canadian Pension 
Commissioner Sept. 1); A. Bedingfleld, $2,520; E. S. Bridges, $4,080; P. C. Cooper, $2,400; 
W. E. Dexter, $4,020; H. H. Evres, $4,080; J. G. Ferguson, $4,080; R. F. Flegg, $4,0S0; 
M. J. Gibson, $4,080; W. O. Gliddon. $4,620; R. J. Gordon, 84.120; R. S. Henderson, 
$4,080; G. P. Howlett, $4,620; C. W. Hurlburt, $4,120; J. A. Irving. S3.000; I. James, 
$3,540; B. F. Keillor, $4,120; C. M. Keillor, $4,920; J. W. Laing, $4,080; L. F. Lavigne, 
$4,080; J. Lawson, $2,700; W. B. MacDermott, $4,260; J. B. McGregor, $3,540; G. A. 
Minorgan, $4,080; H. W. Nichol, $3,120; W. Paterson, $2,400; C. M. Pratt, $4,120; A. C. 
Rowswell, 84,260; W. B. Seaton, 84,620; E. Sheffield, S4,0S0; J. D .Shields. $4,620; B. 
Simpson, S3.000; H. S. Sparks, $2,400; A. E. Thompson, $4,080; G. F. Toone, $3,720; 
G. X. Urie, 84.620; F. C. A. Walton, $4,120. 

B Charges for the three services are: Telephones, $2,299.51; Telegrams, $212.32; Postage, 
$6,257.86 

E Pensions to Col. C. W. Peck and to Sir R. E. W. Turner. 
I The King's Printer account. $7,645.89. 

Travelling expenses over $300 were paid to: Dr. H. M. Barn.-. $428.05; II. Bray, 
$1,531.13; H. A. Bridges, $873.71; Dr. F. F. Chute, $987.05; J. II. Firth, 82.266.88; G II. 
Fowler. $1,322.51; E. R. Grant, $2,511.20; H. W. Heans, $125.34; B. Langelier, $581.74; 

H. E. Lewis, $563.65; J. K. Matheson. $742.52; P. A. Mondou, $514.38; C. B. Reilly, 
S933.S1; Dr. A. C. Rowswell, $857.21; H. J. Woolson, $970.10. 

Included in the expenditure are payments to the Canadian National Rail v. 
$6,591.91 and to the Canadian Pacific Railway, S5.660.4S, mainly for transportation obtained 
through warrants. 



254 



AUDITOR GENERAL'S REPORT 



Vote 205 War Veterans 9 Allowance Board 192,565 00 

Expenditures 163,992 54 

Lapsed $ 28,572 46 

Estimates Allotments 

details authorized Expenditures 

A Salaries 114,715 00 114,715 00 103,355 14 

B Telephones, Telegrams and Postage 2,500 00 2,500 00 1,418 37 

C Equipment 1,500 00 2,000 00 1,677 11 

D Sundries 1,250 00 1,250 00 163 80 

E Professional and Special Services 10,000 00 7,500 00 2,313 26 

F Investigations by Soldier Settlement 45,000 00 45,000 00 40,620 00 

G Materials and Supplies 6,000 00 8,000 00 7,641 56 

H Freight, Cartage and Express 600 00 600 00 545 00 

I Transportation and Travelling Expenses.. 11,000 00 11,000 00 6,258 30 

S 192,565 00 $ 192,565 00 $ 163,992 54 



Comments 

A As of March 31, 1942, there were 51 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date: A. T. Bond, $4,620; H. A. 
Bowie, $5,400; D. Carmichael, $6,000; J. R. Christian, $4,620; F. J. G. Garneau, $6,000; 
M. A. Lavoie, $4,080; A. C. March, $6,000; W. C. N. Marriott, $4,080; H. D. Pickworth, 
$2,580. 

E This allotment covers the cost of medical examinations of applicants, e.g., doctors' fees 
and hospital observation, etc. 

F Where veterans reside in localities within easier reach of field supervisors of the Soldier 
Settlement Board than of departmental investigators, investigations are carried out by 
the Soldier Settlement Board. The rates charged are $12 for initial investigations and $6 
for check-ups. 

G Payments to the King's Printer for printing and stationery, $7,638.38. 

I This allotment covers travelling expenses of Departmental staffs and travel of appli- 
cants — accounts of $300 and over were paid as follows: A. W. L. Auld, $338.68; R. Charles, 
$365.28; P. D. Crosby, $434.72; P. M. Smith, $840.31. 



Direct Payments to Veterans and Dependents 

Vote 206 European War Pensions 39,600,000 00 

Expenditures 38,903,464 24 

Lapsed $ 696,535 76 



Comments 
Pensions, gratuities, and grants awarded under the Pension Act in respect of: — 
Disabled and deceased ex-members of the Canadian Expeditionary Force.. 38,688,004 84 
Disabled and deceased ex-members of the British Forces (Supplementary 

Pensions) 62,414 18 

Deceased ex-members of the Allied Forces 21,665 95 

Burial Grants 60,571 84 

European War Expenditure 38,832,656 81 

Disabled and deceased members of the Militia whose disabilities or deaths 

.occurred after the War 55.288 09 

New Zealand Pensions (Recoverable) 15,519 34 



$38,903,464 24 



On March 31, 1942, there were 95,701 active pension accounts, including 17,730 dependents' 
cases; this compares with 97,145 accounts, including 17,941 dependents' cases, on March 
31, 1941. 






DEPARTMENT OF PENSIONS AND NATIONAL HEALTH 255 

The examination of 10,312 files during the year, together with cases under consideration 
when the report for 1940-41 was published, indicated that overpayments had been made 
to the extent of $27,100.76; reductions in pension awards made as B result of representa- 
tions by this Office during the year will result in a future annual Baving of $1,813.20. 

B Officers and dependents of deceased officers who served with the British Forces and were 

domiciled in Canada at the outbreak of War, receive supplementary payments to 

British pensions to bring the sum of the two pensions up to the Canadian BCale. 228 BUCh 

g were in payment on March 31, 1942; 44 South African pensions were also similarly 

supplemented. 

I Dependents of members of the Forces of His Majesty's Allies who died as a result of 
War, and who were domiciled in Canada at the outbreak of War, receive supplementary 
ions up to the Canadian scale. On March 31, 1942, such supplementary pensions in 
payment were Belgian 1, French 32, Italian 3. 

D 580 burial grants were made during the year. The maximum grant that may be given 
is $100 for funerals plus $50 for last sickness. 

E 127 cases were in payment on March 31, 1942. 

Audit Note 

Previous to the most recent amendment to the Pension Act (Chap. 23-1941) the dead- 
line for payment of additional pension for wives and children of members of the Forces 
■BS May 1. 1933. The amendment retains this deadline date for Great War pensioners only, 
with the result that a member of the forces who was granted a pension in January 1924 
for a peace-time disability and who was married in October 1941, was awarded additional 
pen-inn in respect of his wife, thus placing him in a position of advantage over pensioners 
who incurred disabilities during the Great War. 



Vote 207 War Veterans' Allowances 7,800,000 00 

Expenditures 7,139,999 16 

Lapsed $ 660,000 84 



Comments 

This vote was provided for the payment of allowances awarded under authority of the 
War Veterans' Allowance Act, Chap. 48, 1930, as amended by Chap. 48, 1936 and Chap. 16, 
1938. 

On March 31, 1942, 24.767 allowances were in force as compared with 24,407 on April 1, 
1911. an increase of 360. Of the allowances in payment at the end of the year 14.920 were to 
ns over sixty years of age; 9,440 were granted the allowance on the grounds that their 
disabilities and economic handicaps are such that they are not likely to maintain them- 
selves again and 407 were to dependents of deceased veterans. 

By virtue of Order-in-Council, P.C. 113/9400, dated December 3, 1941, the normal 

monthly allowance of S20 to single persons and S40 to married persons may be supplemented 

and $10 respectively in cases where veterans are incapable of augmenting their income. 

As at March 31, 1942, 1,911 supplementary payments were in issue, of which 759 were in 

respect of married persons. 



Vote 208 Unemployment Assistance 1,100,000 00 

Expenditures 408,421 61 

Lapsed $ 691,578 39 



Comments 

These expenditures, covering assistance to former members of the Forces who, though 
n receipt of small pensions, are in necessitous circumstances, are made up as follows: 
[a) Direct assistance, $364,525; (6) Payment for clothing distributed by various agencies, 
25.269.04; (c) Wages in lieu of assistance, $18,627.57. 

On March 31, 1942, 3,150 pensioners were in receipt of assistance. 



256 



AUDITOR GENERAL'S REPORT 



Vote 209 Hospital and Other Allowances 600,000 00 

Expenditures 531,137 65 

Lapsed $ 68,862 35 



Comments 

On March 31, 1942, 1,191 patients in hospitals were receiving allowances. The rates 
of allowances are authorized in the treatment regulations of the Department (P.C. 91, 
January 16, 1936). Commencing at $45 a month for single men, they increase according to 
rank and number of dependents of the ex-soldier. Pensions are suspended during periods of 
hospitalization. 

The expenditure includes payments amounting to $19,140.67 for clothing and comforts 
provided to patients who, although eligible to receive treatment, are limited to this form 
of allowance. 



Services to Veterans and Dependents 

Vote 210 Care of Patients 2,923,028 00 

Expenditures 2,710,618 48 

Lapsed $ 212,409 52 



M 



Estimates 
details 

Salaries 2,058,028 00 

Telephones, Telegrams and Postage 15,000 00 

Equipment 75,000 00 

Proportion of Operating Costs — Canadian 

National Institute for the Blind 5,000 00 

Lands and Buildings 65,000 00 

Sundries 90,000 00 

Wages of Poppy Makers 20,000 00 

Professional and Special Services 500,000 00 

Rents 500 00 

Materials and Supplies 879,500 00 

Freight, Cartage and Express 20,000 00 

Transportation and Travelling Expenses.. 45,000 00 



Less estimated amount recoverable for 
treatment of the Defence Forces and 
the Royal Canadian Mounted Police.. 



850,000 00 



Allotments 

authorized Expenditures 



2,587,028 00 

18,700 00 

155,000 00 

5,020 00 

133,000 00 

158,000 00 

32,000 00 

111,280 00 

500 00 

1,279,500 00 

35,000 00 

35,000 00 



2,585,996 63 

18,229 11 

154,680 95 

5,017 36 

132,060 84 

157,538 23 

31,961 76 

11,587 13 

423 25 

1,200,877 44 

34,753 00 

31,450 58 



3,773,028 00 4,550,028 00 4,364,576 28 



1,627,000 00 1,653,95] 



$2,923,028 00 $2,923,028 00 $2,710,618 48 



Comments 

This vote covers operating expenses of eight Departmental hospitals and payments to 
other hospitals for maintenance of patients; medical and dental fees; manufacturing expenses 
and purchases of orthopaedic appliances and funeral expenses. 

Treatment facilities extended to other than ex-members of the Canadian Expeditionary 
Force are on a repayment basis. 

A As'of March 31, 1942, there were 1,976 employees paid from this vote. The following 
were receiving annual salaries of $2,400 or over on that date, or at date of separation 
(shown in brackets): J. R. Millar, Director of Medical Services, $7,000; J. D. Adamson, 
$2,400; G. C. Anglin, $4,080; R. H. Angrove, $4,620; C. H. Archibald, $4,620 (Sept. 5) ; 
A. H. Armitage, $2,400; E. C. Armstrong, $3,120 (on military leave from June 26); 
W. F. Arthur, $3,240; F. A. Aylesworth, $3,000; W. Baillie, $4,080; T. D. Bain, $5,220; 
C. E. Baker, $2,400; W. W. Barraclough, $2,400; C. A. Bell, $4,620; F. C. Bell, $4,080; 



DEPARTMENT OE PENSIONS AND NATIONAL HEALTH 257 

A. Bernier, $2,400; G. A. Black, S3, 120 (on military Leave from Juno 3); C. F. Blackfer, 
$3,540 (Dec. 19. See also Vote 225); D. R. Blake, $3,000; F. W. Blakeman, 14,620 
(March 11); W. J. Blakeney, 83,540; C. S. Boccius. $3,000; H. II. Boyd, 13,000; J. P. 
Brannen, $4,920; E. S. Bridges, $2,500 (Jan. 1. See also Vote 204); H. J. Bright, $3,000; 
W. J. Brown, $3,000; \Y. P. Brigg, $3,000; J. R. Bvers, $3,000 (Oct. 1); D. A. Campbell, 
$2,400; D. M. Campbell, $4,620; F. T. Campbell, $3,000; J. A. M. Campbell, $4,080; J. G. 
Campbell, $2,400; M. A. Carmichael, $4,260; M. J. Carney, $2,400; J,. F. Carter, $2,400; 
T. A. Carson $5,220; R. W. J. Carveth, $3,540; G. Casgrain, 83,000 (June 1); J. P. S. 
Cathcart, $5,500; A. L. Chambers, $3,120 (on military leave from June 20); C. B. C. 
Coir, $3,600; H. A. Collins, $3,240; R. V. Connors. $2,400; E. B. Converv, $3,900; T. E. 
Corbett, $2,400 (May 23); J. T. Cortice, $3,600; N. B. Coward, $2,400 (May 1); E. J. 
Cram, $3,000; H. Crassweller, 83,000; D. S. Creighton, $4,120; W. Creighton, $3,420; 
A. Croll, $3,000; R. P. Cromarty, $3,420; W. D. S. Cross, $4,080; B. Cuddihv, $3,000; 
W. A. Curry, 82,100; G. M. Dale, $4,620; V. D. Davidson, $3,300; G. C Dracseke, $3,000; 
J. H. Duff," $3,640; W. F. Dunn, $4,080; F. Eason, $2,400; W. M. Ecclestone, $4,080; 
F. J. Ellis, 83,240; F. Etherington, $2,700; E. T. Etsell. $2,400; D. G. Findlay, $3,540; 
D. R. Finlayson, $3,540; S. M. Fisher, $2,700; T. W. Fisher, $2,400; W. A. Gardner, 
$2,400; J. A. Gunn, $2,400; F. Harris, $2,400; L. C. Harris, $4,120; S. Harvey, $2,400; 
R. T. Hayes, $2,400; C. Hazlett, $2,820; H. H. Hepburn, $2,400; J. D. Hermann, $3,540; 
C. U. Holmes, $4,080; B. H. Hopkins, $3,420; W. K. House, $3,000 (Oct. 1); K. O. 
Hutchison, $2,400; H. L. Jackes, $3,000; R. A. Jamieson, $3,600; II. H. Johnson, $4,080; 
S. R. Johnston, 82,400; K. B. Johnstone, $2,400; J. H. Jones, $4,080; W. W. Kennedy, 
$3,000; E. E. Kent, $3,540 (June 1); L. W. Kergin, 32,400; J. C. Kovach, $3,000; R. G. 
Laidlaw, $3,000; W. Lalonde, $4,080; J. L. Lamont, $3,540; J. C. Lanthicr, $3,000; E. E. 
Latta, $4,080; A. T. Leatherbarrow, $3,540; E. Lemieux, $4,080 (Aug. 3); W. Leslie, 
84.080 (Nov. 1); O. J. S. Little, $4,260; A. F. Macauley. $5,500; F. H. MacKay, $3,000; 
C. MacLeod, $4,260; F. A. MacNeil, $2,700; D. G. MacQueen, $3,540; E. Mallette, 
$4,080; J. M. F. Malone, $2,400; H. E. Mann, $2,400; H. W. Martin, $2,400; E. G. Mason, 
$2,700; F. H. Mayhood, $4,080; J. S. McCallum, $4,080; H. J. McCann, $3,540; A. M. 
McCormick, $4,620; J. M. McEachern, $2,400; H. L. Mclnally, $3,540; F. B. Mcintosh, 
$3,540; H. H. Mcintosh, $2,400; D. J. McKay, $4,080; V. N. McKay, $3,000; C. S. McKee, 
$2,400; S. H. McKee, $3,000; K. A. McKenzie, $3,000; W. J. McLean, $4,440; J. C. 
McLelland, 82,400; G. J. McMurty, $2,400; M. McQuitty, $4,080; A. A. McRae, $3,540; 
T. Melling, $3,000 (May 1); A. E. Mewhiney, $2,400; J. D. Mills, $4,620; J. K. Mulloy, 
83.540; A. Munroe, 83,600; P. Nase, $2,400 (Feb. 8); H. K. Neilson, 83,000; J. R. W. 
Nicholson, 83,000; W. F. Nicholson, $2,400; A. C. Norwich, $4,080; F. X. O'Connor, 
$2,400; A. Ouimct, $3,540; F. Overholt, $4,620; A. W. Park, $4,620; E. Patenaude, $3,540; 
H. E. Paul, $2,400 (Nov. 8); M. G. Peever, $3,300; R. Pentecost, $3,600; W. J. Perreault, 
$2,880; C. A. Peters, $2,700; C. P. Paterson, $3,540; L. L. Plouffe, $3,900; W. S. Quint, 
$2,400; J. Rankine, $4,080; C. R. Rice, S2,400; R. C. Rider, $3,000; E. F. Risdon, $2,400; 
J. B. Ritchie, $3,000; D. E. Robertson, $2,400; S. S. Robinson, 82,400; K. F. Rogers, 
$3,120; S. O. Rogers. 81,260; C. H. Ross. $2,640; A. B. Schinbein, $3,420; W. Scott, $2,400; 
J. M. Shapley, S3,000; N. S. Shenstone. $2,400; R. N. W. Shillington, $4,080; A. E. 
Shore, $3,000; M. W. M. Sloane, $3,000; F. Smith, $2,400; R. W. Stephens, $3,540; 
R. S. Stevens, S3,000; H. Stevenson, $2,520; J. M. Stewart, $4,080; R. H. Stoddard, 
82,400; N. C. Sully, $4,080; C. G. Sutherland, $3,000; J. W. Sutherland, $4,080; A. R. 
Taylor, 84,620; C. A. Taylor, $4,500; R. A. Thomas, $4,260; R. D. Thompson, 83,240; 
F. Trampe, $2,400; A. Turnbull, $4,080; W. L. Turnbull, $3,540; W. L. Valens, $3,540; 
S. Y. Walsh, 82,400; P. Weatherbee, $3,000 (Oct. 1); G. W. Whvte, $3,720; A. L. Wilkie, 
$3,000; H. J. Williamson, S4,620, living allowance, $300; D. D. Wilson, 84,620; R. Wilson, 
$3,000; W. A. Wilson, $3,000; W. W. Wright, $3,000; A. M. Yeates, $4,080; C. A. Young, 
S3.000; F. A. Young, $3,000; G. F. Young, $3,540. 

B This comprises Telephones, 812,007.44; Telegrams, $2,240.46 and Postage, $3,981.21. 

C Payments of $5,000 or over were made as follows: General Steel Wares, $8,648.43; 
J.F. Hartz Co. Ltd., $6,521.56; Kelvinator of Canada, Ltd., $6,052.14; Moffats Ltd., 
$6,549.37; Northern Electric Co. Ltd, $5,111.69; Geo. R. Prowse. $6,614.80; Wrought Iron 
Range Co., $12,024.35. 

D Contributions to the Canadian National Institute for the Blind for services rendered 
to blind pensioners. This is in addition to the grant of $18,000,000 shown under Vote 
No. 232. 

E Building supplies, etc., used for maintenance and repairs to hospital buildings. Includes 
payments for wages, $14,994.93 and accounts of J. B. D'Aoust, 817.597.08. 
59727—18 



258 AUDITOR GENERAL'S REPORT 

F Classification of this expenditure is as follows: Light and Power, $52,088.16; water rates, 
$25,367.25; laundry, $55,902.67; purchase of poppies, $5,592.65; pay of guards, $6,613.55; 
miscellaneous, $11,973.95. Payments of $5,000 or over were made to: Alberta Laundry 
Ltd., Calgary, $5,537.30; B. C. Electric Railway Co. Ltd., $7,620.77; Canadian Corps of 
Commissionaires, $6,613.55; Hydro Electric Power Commission, London, $5,895.48; Muni- 
cipality of Ste. Anne de Bellevue, $22,650.48; New Ungars Laundry Ltd., Halifax, $12,888.66; 
Nova Scotia Light, Heat and Power Co. Ltd., $6,861.98; Parisian Laundry Co. of Toronto, 
Ltd., $19,903.26; Peerless Laundry Ltd., Winnipeg, $9,632.42; Red Cross Workshops, 
Victoria, (poppies) $5,592.65; Toronto Hydro Electric System, $6,073.90. 

H The gross expenditure against this allotment amounted to $1,093,839.67, the net amount 
of $11,587.13 being arrived at by deducting receipts amounting to $1,082,252.54. The source 
of these receipts which comprise reimbursements to the Department for hospital main- 
tenance, drugs and other services, was as follows: Air Force Services, $797,388.24; 
Department of Justice, $8,147.86; Department of Mines and Resources, $55,181.99; National 
Defence, $70,220.99. Other Federal Government Departments, $30,528.86; British and: 
Foreign Governments, $69,191.57; Workmen's Compensation Boards, $12,272.85; Mis- 
cellaneous, $39,320.18. 

This allotment is for the purpose of providing treatment for patients in other than 
departmental hospitals and clinics, and by other than officials of the department. 
Following is a classification of the expenditures: — 

(a) Hospital Maintenance 786,433 83 

(b) Dental Services 42,276 60 

(c) Medical Services 131,755 77 

(d) Nursing Services 13,079 81 

(e) Funerals and Grave Markers 70,867 45 

(/) Alcohol 17,582 43 

(g) X-Ray Supplies 21.250 63 

(h) Miscellaneous 10,593 15 



$1,093,839 67 



Payments of $5,000 or over were made as follows: Alexanara Hospital, Montreal, 
$19,053.50; Battleford Mental Hospital, $12,223.52; Brandon General Hospital, $29,736.25; 
Brant Sanatorium, Brantford, $7,495; Canadian Kodak Sales, Toronto, $21,250.63; Central 
Alberta Sanatorium, Calgary, $12,425.16; Charlottetown Provincial Sanatorium, $7,646.97; 
City of Calgary Hospital, $8,321.15; Enfant-Jesus Hospital, Quebec, $6,811; Essondale 
Provincial Mental Hospital, Essondale, $43,746.10; Fort Qu'Appelle Sanatorium, $5,543.10; 
Gooderham & Worts, Toronto, $14,387.71; Hamilton General Hospital, $5,927.20; Hotel 
Dieu Hospital, Kingston, $5,325; Kingston General Hospital, $16,353.75; Mcintosh 
Granite Co. Ltd., $5,882.72; Moncton Hospital, $5,708.50; Montreal General Hospital, 
$5,441.39; Moose Jaw General Hospital, $5,181.85; Mountain Sanatorium, Hamilton, 
$26,543; Nova Scotia Hospital, Dartmouth, $21,658.66; Nova Scotia Sanatorium, Kent- 
ville, $15,447.50; Ottawa Civic Hospital, $34,735.14; Ponoka Provincial Mental Hospital, 
$16,098.98; Queen Alexandra Sanatorium, London, $14,665.50; Regina General Hospital, 
$14,881.95; Riverdale Isolation Hospital, Toronto, $15,665.25; Royal Alexandra Hospital, 
Edmonton, $10,287; Royal Jubilee Hospital, Victoria, $7,184.60; Royal Victoria Hospital, 
Montreal, $32,898.01; St. John General Hospital, $7,861.35; St. John Tuberculosis Hospital, 
$9,394.72; St. Joseph's Hospital, Victoria, $11,657.10; St. Raphael's Hospital, Vancouver, 
$10,391.68; Saskatoon City Hospital, $9,428.25; Selkirk Mental Hospital, $16,176.97, 
Tranquille Sanatorium, $7,296.86; Treasury of the United States, $31,074.02; University 
of Alberta Hospital, Edmonton, $58,188; Weyburn Mental Hospital, $10,249.69; Winnipeg 
General Hospital, $26,462.25; Winnipeg Municipal Hospital, $12,965. 

Payments of $1,000 or over covering medical and dental fees were made as follows: 
Allen & Pollaston, Ltd., $4,918.05; R. Benoit, Montreal, $1,470; H. E. Britton, Moncton, 
$1,992.50; J. Ewart Campbell, Vancouver, $2,166.28; Dauphin Medical Clinic, $1,577.50: 
J. M. Dickie, Ottawa, $1,687; Lee Elliott, St. Thomas, $1,105; J. H. Forrester, Belleville, 
$3,155; Carl E. Hill, Lansing, $1,182,37; J. P. Lantz, Charlottetown, $1,197.50; T. M. Leask, 
Moose Jaw, $2,393.50; W. T. Lockhart, Vancouver, $1,506.86; H. O. McDiarmid, Brandon, 
$1,847.16; McGregor Clinic, Hamilton, $3,196; R. Michaud, Moose Jaw, $1,122.50; A. G. 
Morris, London, $1,240.75; A. H. Pirie, Baie D'urfe, $1,040; Saskatchewan Anti-Tuberculosi8 
League, Regina, $1,477.50; T. J. Simpson, Collingwood, $1,323; G. E. Tanner, Midland, 
$1,464; I. Wilson, London, $2,737.50; H. M. Young, Iroquois Falls, $1,173. 



DEPARTMENT OF PENSIONS AND NATIONAL HEALTH 259 

The gross expenditure againsi this allotment amounted to 11,559,337.31, the net figure of 
Sl.200.s77i I being reached by deducting miscellaneous receipts of $17,748.79 and a 
transfer from a War Appropriation allotment of $340,711.08 covering purchase of reserve 
Btores. A classification of the expenditure follows: — 

(a) Food 577,439 03 

( b) Fu.l 126,398 53 

(c) Hospital Equipmenl 404,622 12 

(<l) Medical and Surgical Supplies 184,752 29 

) X-Ray Supplies and Equipment 64,399 40 

(/) Orthopaedic Supplies 79,160 52 

(<,) Poppy Supplies 29,818 73 

(/») Miscellaneous 92,746 69 

$1,559,337 31 



Payments oi $5,000 or over were made as follows: — 

Food.— H. E. Burgess & Co., Halifax, $7,827.49; Canada & Dominion Sugar Co., 
S7 .090.11; Canada Packers Ltd., $32,667.29; R. B. Caldwell, Ltd., Halifax, 810,967.98; 
Co-operative Milk Co., Calgary, 85.173.29; F. Caldcrone, Toronto, 86,457.26; Canadian 
Canners Ltd., 830,304.59; Elliott Marr & Co., London, 812,582.75; Harbour Produce Co, 
Montreal, $5,397.07; Highland Dairies, Toronto, $24,677.08; Luxuria Tea Co.. Toronto, 
820. 122 SI; C. A. Mann Co., London, $5,839.52; Maple Grove Dairy, London. 817,625.90; 
Modern Dairies, Winnipeg. 88.09575; National Grocers Co., $13,222.89; Nickerson & 
Crease, Halifax. S5.498.03; Pacific Meat Co. Ltd., Vancouver, $7,149.15; Point Claire 
Farm, S20 .655.80; Porter & Black, Toronto, 88,603.85; A. J. Robert, Montreal, 810,569.64; 
Cliff Robinson & Son, London, $12,613.57; Silvorsteins, London, 85,318.54; Silverwood 
Dairies. London, 813,387.89; Swift Canadian Co., 811,137.72; Whyte Packing Co., $27,639.49; 
John Wickson, $26,860.48; Wilsil Ltd., $11,382.39. 

Fuel.— Armdale Coal Co., Halifax, S12.627.18; Canadian Import Co., Montreal, $42,248.20; 
Conger Lehigh Coal Co., Toronto, $5,248.67; Dominion Coal Co., Toronto, $24,706.18; 
Thomas Jackson & Son, Winnipeg, 87,997.80; Elias Rogers & Co., Toronto, $18,224.85. 

Hospital Equipment. — Canadian Converters Co. Ltd., (clothing) $11,231.23; Canadian 
Feather Mattress Co. Ltd., $11,326.48; Cassiday's Ltd., (dishes) $7,527.81; Dominion 
Fabrics Ltd., 86,199.67; Dominion Textile Co., Ltd., $39,206.21; T. Eaton Co. Ltd., 
(clothing) $17,148.37; Horn Bros, (woollens), $54,988.49; St. Louis Bedding Co. Ltd., 
$S,525; Simmons Ltd., S12,687.45; Sovereign Potters, Ltd.. 812,143.86; W. W. Veitch 
(bedding), $43,508.52. 

Medical and Surgical Supplies. — Bauer & Black, S5,054.90; Connaught Laboratories, 
s7.722.99; J. F. Hartz Co. Ltd., 87,243.97; Ingram & Bell Ltd., 88,312.58; Johnson & Johnson 
Ltd., 829.681.14; Mallinckrodt Chemical Works Ltd.. $7,904.46; Parke Davis & Co, 85,705.65. 

X-Ray Supplies.— Canadian Kodak Sales Ltd, 863,214.30. 

Orthopaedic Supplies. — Davis Leather Co. Ltd, Newmarket, $5,2S5.5S; Win. Hood, 
Vittoria (stump sox), 814,371.63. 

Poppy Supplies. — Dale Estate Ltd, Brampton, 85.454.26; Vetcraft Industrie--, Montreal, 
$6,983.5*1. 

M iscel la ncous.— King's Printer account, S16,887.60. 

K Includes payments to the Canadian National Railways, 823,898.07; Canadian Pacific 
Railway, S6/782.15. 

L This comprises transportation and travel of patients and escorts, 816,867.39; staff, $10,862.54; 
ambulance and taxi hire, $3,646.40; transportation of the blind, S74.25. Travelling expenses 
exceeding S300 were paid as follows: A. Bernier, 8533.40; E. B. Convery, 8336.82; A. F. 
Macauley, $425.76; A. Warm.sley, 8346.44. 

M The credit of SI. 653.957 .80 represents revenue received from the following sources: 
Recoveries from War Appropriation for treatment services, C.A.S.F. and R.C.M.P, 
81.519.0S5.15; recoveries of treatment services to Sick Mariners, Class 4 Treatment Cases 
C.E.F, etc, 850,004.61; poppy sales, S72.640.60; meals sold, SS,7S0.53; miscellaneous. 
$3,446.91. 
59727— 18i 



260 AUDITOR GENERAL'S REPORT 

Audit Notes 

H The credit of $1,082,252.54 to allotment H — Professional and Special Services — for 
repayment of treatment services rendered by the Department has the effect of presenting 
an erroneous picture of the expenditure under this item: Approximately half of this 
amount covers maintenance provided in departmental hospitals and charges for drugs, 
and other items, no part or which was originally charged against this allotment, the cost 
of these services having been originally charged to allotments for salaries, supplies, 
etc. The expenditures for other than recoverable items amounted to $561,316.71, which 
is within approximately 11 per cent of the amount shown in the details of the estimates. 
The accounting procedure current during the year 1941-42 is being varied to enable the 
presentation of expenditure figures more closely related to objects of expenditure. 

Vote 211 Veterans' Bureau 171,780 00 

Expenditures ... 154,296 53 

Lapsed $ 17,483 47 



Estimates 
details 

A Salaries 164,430 00 

B Telephones, Telegrams and Postage 3,000 00 

C Equipment 100 00 

D Sundries 500 00 

E Professional and Special Services 500 00 

F Materials and Supplies 50 00 

G Freight, Cartage and Express 200 00 

H Transportation and Travelling Expenses. . 3,000 00 



Allotments 




authorized 


Expenditures 


164,430 00 


149,479 07 


3,000 00 


2,066 89 


100 00 


19 10 


500 00 


191 46 


500 00 




50 00 




200 00 


87 86 


3,000 00 


2,452 15 



$ 171,780 00 $ 171,780 00 $ 154,296 53 



Comments 

This vote was provided for the expenses arising from the operation of the Veterans' 
Bureau, a branch of the Department constituted by authority of the Pension Act, Chap. 35, 
1930, for the purposes of assisting applicants in the preparation and presentation of applica- 
tions for pensions. 

A As of March 41, 1942, there were 95 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date: H. Aird, $2,400; F. L. Barrow, 
$3,720; E. C. Bridges, $3,120; B. E. Courtney, $2,400; W. Drinnan, $3,720; R. Dupuis, 
$3,000; W. R. Henry, $2,400; L. A. Masterman, $2,880: J. A. Maclsaac. $3,720; R. H. Neil, 
$3,000; B. W. Russell, $3,720; M. A. Searle, $3,120; G. H. Sedger, $2,400; C. Y. Steele, 
$3,000; S. Stephens, $2,400; A. Wakelyn, $2,400; E. V. Wilson, $3,600. 

H Travelling expenses in excess of $300 were paid as follows: J. D. Dupuis, $527.22; P. R. 
Potter, $382.80. 



Vote 212 Employers 9 Liability Compensation 50,000 00 

Expenditures 40,096 72 

Lapsed $ 9,903 28 



Comments 

Order in Council P.C. 4638, dated June 25, 1941, authorized reimbursements to 
Workmen's Compensation Boards or employers for expenses incurred in cases involving 
industrial accidents incurred by pensioners. "Pensioner" is denned as one in receipt of a 
disability pension of not less than 25 per cent nor more than 79 per cent. Outlays for 
medical aid and compensation are reimbursed with the proviso that any compensation paid 
which, when added to the pension actually in issue, exceeds the amount of pension payable 
if the pensioner were in receipt of 100 per cent pension, is not to be reimbursed. 



DEPARTMENT OF PENSIONS AND NATIONAL HEALTH 261 

The expenditure covers 021 claims, classified as follows: Medical Aid, 811,585.33; com- 
pensation for disabilities, $28,511.39. 

Reimbursements to Workmen's Compensation Boards were made as follows: Nova 
Scotia, $2,557.80; Quebec, $717.35; Ontario, $18,361.32; Manitoba, S4,096.58; Saskatchewan, 
$3,134.63; Alberta, $4,273.33; British Columbia, $3,093.66. Payments were also made to 
Canadian National Railways, $1,836.81; Canadian Pacific Railway, $1,552.31. 

Audit Note 

A payment of $164.00 to the Workmen's Compensation Board, Province of Ontario, 
covering administrative costs is not properly chargeable to this vote. Arrangements are 
being made to effect refund, which will appear in the 1942-43 accounts. 



Vote 213 Grant to the Last Post Fund $ 85,000 00 



Vote 214 Grant to Canadian Legion $ 9,000 00 



Comments 

The Government contribution is limited to 50 per cent of the actual expenses of the 
Canadian Legion, with a maximum contribution of $9,000 in the fiscal year. 

The expenditures for the year, supported by statements audited by a firm of chartered 
accountants, amounted to $23,643.66. 



Vote 503 Veterans' Welfare Division 8,370 00 

Vote 133 Further Amount Required 80,390 00 



88,760 00 
Expenditures 81,107 60 



Lapsed $ 7,652 40 



A Salaries 

B Telephones, Telegrams and Postage . . . 

C Equipment 

D Sundries 

E Special Placement Services 

F Materials and Supplies 

G Transportation and Travelling Expenses 8,000 00 



Estimates 


Allotments 




details 


authorized 


Expenditures 


69.870 00 


69.870 00 


66,218 69 


2,200 00 


2,400 00 


2,298 13 


550 00 


550 00 


473 92 


1,000 00 


1,000 00 


993 17 


5,500 00 


5.500 00 


3,146 55 


1,640 00 


1,640 00 


1,492 84 


8,000 00 


7,800 00 


6,484 30 



$ 88,760 00 $ 88,760 00 S 81,107 60 



Comments 

A As of March 31, 1942, there were 51 employees paid from this vote. The following were 

receiving annual salaries of $2,400 or over on that date, or at date of separation (shown in 

brackets): J. H. Barnett, $2,640; S. L. Bedson, $2,400 (Aug. 1); H. M. Bell, $3,000; 

B. Dawson, S3.600; O. E. Elliott, $3,600; L. Ferland, $2,640; J. T. E. Gagnon, $3,600; R. G. 

Goldston, $2,640; T. F. Hamilton, $2,640; L. H. Mackenzie, $2,640; A. McFarlane. $2,640; 

W. R. McLaren, $2,640; H. Parrv, $3,000; J. A. Paul, $2,640; G. L. Rosser, $2,640; 

W. G. Rumball, $3,000; R. Thompson, $2,400 (Aug. 1) ; W. C. Tyrell. $2,640; A. M. Wright, 

$4,920. 
E Includes payments to the "War Amputations of Canada" covering reimbursement for 

payments to R. Hodgson, Placement Officer, for salary and living allowance — $2,499.99 and 

travelling expenses, $646.56. 



262 AUDITOR GENERAL'S REPORT 

G Travelling expenses (other than transportation obtained through the purchase of warrants) 
in excess of $300 were paid as follows: L. Ferland, $420.52; G. M. Weir, $351.45; 
W. S. Woods, $1,131.22. 

HEALTH BRANCH 

Vote 215 Health Branch Administration 49,570 00 

Expenditures 45,804 91 

Lapsed $ 3,765 09 



A Salaries 

B Advertising and Publicity 

C Telephones, Telegrams and Postage 

D Equipment 

E Sundries 

F Materials and Supplies 

G Freight, Cartage and Express 

H Transportation and Travelling Expenses. 



Comments 

A As of March 31, 1942, there were 23 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date, or at date of separation (shown 
in brackets): J. J. Heagerty, Director of Public Health Services, $5,940; E. B. Davies, 
$2,400; F. W. Rowse, $2,880 "(on military leave from Nov. 17). 

B Includes $3,588.55 for publications of booklet "National Health Review" and $1,363.85 
for booklet "The Canadian Mother and Child," (See also vote No. 222 where $8,600 is 
charged for this publication.) 

F Includes pa3 r ment to the King's Printer for printing and stationery, $1,420.20. 

H Travelling expenses of $300 or over were paid as follows: H. D. Smith, $337.62. 

Audit Note 

A One employee was overpaid $100.80 which was not recovered, according to the records 
of the Central Pay Office. 



Vote 216 Food and Drugs 172,690 00 

Expenditures 172,320 14 

Lapsed $ 369 86 



Estimates 


Allotments 






details 


authorized 


Expenditures 


33,570 00 


33,570 00 




31,375 69 


10,000 00 


10,000 00 




9,252 04 


200 00 


200 00 




140 00 


500 00 


500 00 




171 76 


600 00 


300 00 




141 25 


2,000 00 


1,750 00 




1,491 14 


200 00 


750 00 




740 05 


2,500 00 


2,500 00 




2,492 98 


$ 49,570 00 


$ 49,570 00 


$ 


45,804 91 



Estimates 
details 

A- Salaries 147,690 00 

B Telephones, Telegrams and Postage 2,000 00 

C Equipment 2,000 00 

D Sundries 3,000 00 

E Professional and Special Services 1,000 00 

F Materials and Supplies 4,500 00 

G Freight, Cartage and Express 500 00 

H Transportation and Travelling Expenses . . 12,000 00 



Allotments 




authorized 


Expenditures 


149,490 00 


149,451 38 


2,050 00 


2,025 51 


1,800 00 


1,791 11 


2,250 00 


2,247 73 


765 00 


764 20 


4,200 00 


4,028 49 


450 00 


438 68 


11,685 00 


11,573 04 



$ 172,690 00 $ 172,690 00 $ 172,320 14 



DEPARTMENT OF PENSIONS AND NATIONAL HEALTH 263 

Comments 

This vote was provided for the administration of the Food and Drugs Act, designed for 
the protection of the purchasing consumer by preventing or prohibiting adulteration and 

misrepresentation in the sale of foods and drugs. Laboratories are located in Halifax, 
Montreal, Ottawa, Toronto and Vancouver, with inspectors at these and other strategic 
points. 

A As of March 31, 1942, there were 70 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date, or at date of separation (shown in 
brackets) : F. E. Artlett, $3,180; J. F. Blanchard, $2,700; F .C. Collier, $3,300; A. P. Couture, 
$3,660; A. L. Davidson, $3,180; W. A. Davidson, $3,660; J. Dick, $3,300; H. R. L. Hart, 
$2,820; W. H. Hill, $3,660; P. E. Jean, $2,700; L. E. Johnson, $2,700; W. V. Kitto, $3,300 
(July 1); II. M. Lancaster ,$5,220; H. 0. Tomlinson, $2,700; J. G. A. Valin, $4,620; 
H. A. Watson; $3,300; R. D. Whitmore, $4,140; E. F. Whyte, 82,700. 

D Includes purchase of samples, $2,025.62. 

F Includes payment to the King's Printer for printing and stationery, $1,576.89. 

H Travelling expenses of $300 or over were paid as follows: C. E. Abrams, $1,009.06; 
W. A. Cooke, $806.33; J. Cullen. $1,059.75; J. E. Dixon, $467.75; H. G. Hibbs, $576.69; 
J. L. Hollinshead, $876.90; A. S Horswill, $767.74; E L. Hughes, $556.83; F. A. Kirby, 
$1,068.19; H. M. Lancaster, $342.72; J. D. MacDonald, $395.05; J. A. Martin, $481.87; 
J. St. Onge, 8452.23; T. SI .-wait, $407.03; E. B. Thurlow, 8537.13. 

Audit Note 

This vote was credited with $2,611, covering fees, charged to War Appropriation, for 
analyzing 373 samples. This credit is more properly a revenue item. 

Vote 217 Opium and Narcotic Drugs 61,065 00 

Expenditures 59,159 03 



Lapsed $ 1,905 97 

Estimates Allotments 

details authorized Expenditures 

\ Salaries 33,915 00 32,515 00 31,669 74 

B Telephones, Telegrams and Postage 100 00 250 00 207 59 

C Equipment 100 00 100 00 66 15 

D Sundries , 300 00 100 00 64 16 

E Professional and Special Services 20,000 00 23,800 00 23,021 37 

F Materials and Supplies 1,050 00 1,100 00 1,08158 

(; Transportation and Travelling Expenses . . 5,600 00 3,200 00 3,048 44 

$ 61,065 00 $ 61,065 00 S 59,159 03 



Comments 

This vote was provided for the administration of the Opium and Narcotic Drugs Act 
respecting the control of legal and illegal sale of narcotics in Canada. 

A As of March 31, 1942, there were 17 employees paid from this vote. The following 
were receiving annual salaries of $2,400 or over on that date, or at date of separation (shown 
in brackets): K. C. Hossick, $3,720; D. C. Nairn, $3,000 (Mav 22); C. H. L. Sharman, 
$4,500. 

B This covers legal services in connection with prosecutions under this Act; payments 

exceeding 81,000 were made to Bernard Bourdon, Montreal, 81,035.55; Dugald Donaghy, 
Vancouver. 83.695.60; J. C. M. German, Toronto. $5,351.69; C. K. Guild, Winnipeg, 
$1,369.61; D. J. McAlpine, Vancouver, Sl,522.50; A. M. Shinbane, Winnipeg, $3,202.09. 

Travelling expenses of 8300 and over: F. W. Fleming. SI, 091. 15; R. C. Hammond, 
S866.80; C. H. L. Sharman, S8S8.49. 



264 AUDITOR GENERAL'S REPORT 

Vote 218 Proprietary or Patent Medicines 14,890 00 

Vote 420 Cost of Living Bonus — Supplement 533 41 



15,423 41 
Expenditures 15,030 29 

Lapsed $ 393 12 

Estimates Allotments 

details authorized Expenditures 

A Salaries 12,105 00 12,888 41 12,888 41 

B Sundries 100 00 100 00 6 86 

C Professional and Special Services 2,000 00 1,950 00 1,885 00 

D Materials and Supplies 485 00 485 00 250 02 

E Transportation and Travelling 200 00 



$ 14,890 00 $ 15,423 41 $ 15,030 29 



Comments 

This vote was provided for the administration of "The Proprietary or Patent Medicine 
Act" which requires that patent medicines be registered with the Department and that 
licences for the sale thereof, when formulae, labelling, etc., meet Departmental require- 
ments, be issued annually. 

A As of March 31, 1942, there were 7 employees paid from this vote. The following was 
receiving an annual salary of $2,400 or over on that date: L. P. Teevens, $4,080. 

Vote 219 Quarantine and Leprosy including contribution of $1,500 to 

the International Bureau of Public Health 148,580 00 

Expenditures 145,501 39 



Lapsed $ 3,078 61 



Estimates Allotments 

details authorized Expenditures 

A Salaries 113,080 00 114,480 00 114,440 19 

B Telephones, Telegrams and Postage 2,500 00 1,750 00 1,595 75 

C Equipment 7,500 00 8,300 00 7,923 35 

D Contribution to the International Bureau 

of Public Health 1,500 00 1,500 00 

E Lands and Buildings 500 00 71 08 

F Sundries 2,500 00 2,450 00 2,322 21 

G Professional and Special 2,000 00 1,600 00 1,434 30 

H Materials and Supplies 15,000 00 15,500 00 15,337 59 

I Freight, Cartage and Express 50 00 800 00 692 26 

J Transportation and Travelling Expenses . . 4,000 00 1,700 00 1,684 66 



$ 148,580 00 $ 148,580 00 $ 145,501 39 



Comments 

This vote was provided for (a) Administration of the Quarantine Act designed and 
operated for the purpose of preventing the entry of infectious diseases into Canada. 
Quarantine stations are operated at the principal Canadian ports, (b) Administration of 
the Leprosy Act under which hospitals for treatment to lepers are operated at Tracadie, N.B., 
and at Bentinck Is., B.C. 

A As of March 31, 1942, there were 59 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date: C. P. Brown, $5,220; C. Cartwright, 
$4,080; J. D. Chretien, $4,080; G. F. Elliot, $3,480; P. E. Fiset, $3,240; J. Gale, $2,400; 
R. B. Jenkins, $4,620 (allowance, house, fuel and light, valued at $600) ; G. E. Maddison, 
$3,540; J. B. Peloquin, $3,480; Rev. Mother Savoie, $3,000; F. L. Sparks, $3,540. 
J Travelling expenses in excess of $300 were paid to J. D. Chretien, $302.97. 



DEPARTMENT OF PENSIONS AND NATIONAL HEALTH 



265 



Vote 220 Laboratory of Hygiene 118,390 00 

Expenditures 115,559 67 

Lapsed $ 2,830 33 

Estimates Allotments 

details authorized Expenditures 

A Salaries 80,390 00 80,390 00 79,000 10 

B Equipment 5,000 00 5,250 00 5,236 45 

C Sundries including Fees 8,500 00 8,000 00 7,901 07 

D Materials and Supplies 16,000 00 19,000 00 18,216 60 

E Freight, Cartage and Express 2,500 00 1,450 00 1,422 53 

F Transportation and Travelling Expenses . . 6,000 00 4,300 00 3,782 92 



$ 118,390 00 $ 118,390 00 $ 115,559 67 



Comments 

This vote was provided for the maintenance of Laboratory at Ottawa relating to the 
operation of Part 2 of the Food and Drugs Act concerning the manufacture and sale of 
biological products such as vaccines, serums and also of potent drugs; bacteriology examina- 
tion of foods, etc.; and the maintenance of a virological laboratory at Kamloops, B.C. 
A As of March 31, 1942, there were 45 employees paid from this vote. The following were 

receiving annual salaries of $2,400 or over on that date: M. G. Allmark, S3,240; E. T. Bynoe, 

$3,240; G. D. W. Cameron, $6,000; W. A. Crandall, §2,400; J. Gibbard, $4,260; 

R. J. Gibbons, $4,620; L. G. H. Herman, $2,520; F. A. Humphreys, S3.120; C. A. Morrell, 

$4,440; L. I. Pugsley, $3,240. 
C Includes analysis fees as follows: Hospital for Sick Children, Toronto, $1,500; Macdonald 

College, McGill University, Montreal, $3,000; University of Toronto, $1,500. 
F Travelling expenses of $300 or over were paid as follows: G. D. W. Cameron, $560.90; 

A. G. Campbell, $355.80; Jas. Gibbard, $594.70; R. J. Gibbons, $999.84; F. A. Humphreys, 

$483.49. 



Vote 221 Immigration Medical Inspection 
Expenditures 



Lapsed 



81,495 00 
61,630 59 

.$ 19,864 41 



Estimates 
details 



A Salaries 

B Telephones, Telegrams and Postage . . . 

C Equipment 

D Sundries 

E Professional and Special Services 

F Rents 

G Materials and Supplies 

H Freight, Cartage and Express 

I Transportation and Travelling Expenses 



Less estimated amount recoverable for treat- 
ment for the Canadian Active Service 
Force in Immigration Hospitals 



Allotments 
authorized 



Expenditures 



78,985 00 


78,985 00 


77,352 77 


1,500 00 


1,500 00 


653 49 


8,000 00 


8,000 00 


7,489 OS 


5,910 00 


5,710 00 


3.374 97 


1,000 00 


1,000 00 


82 35 


5,000 00 


5,000 00 


4.048 98 


25,000 00 


25,000 00 


IS, 255 23 


100 00 


300 00 


196 25 


4,000 00 


4,000 00 


2,874 02 


129,495 00 


129,495 00 


114,327 14 


48,000 00 


48,000 00 


52,696 55 



$ 81,495 00 $ 81,495 00 $ 61,630 59 



266 AUDITOR GENERAL'S REPORT 

Comments 

A As of March 31, 1942, there were 53 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date: G. Audet, $4,080; A. Cantin, 
$3,540; J. L. Cock, $4,080; J. M. Couillard, $4,080; W. Egan, $4,080, living allowance, $250; 
H. B. Jeffs, $4,620, living allowance, $300; H. Laurin, $4,620; H. D. Reid, $4,620; 
A. M. Savoie, $4,080. 

D & F Includes payment for rent and taxes to Sackville Investments Ltd., London, Eng., 
$1,252.38; Sun Life Assurance Company, London, Eng., $2,945.63. 

I Dr. G. Audet was paid travelling expenses amounting to $2,202.19 of which $1,276.89 
represents living expenses in Lisbon, Portugal, from April 1, 1941, to October 18, 1941. 



Vote 222 Child and Maternal Hygiene 24,895 00 

Expenditures 22,106 18 

Lapsed $ 2,788 82 

Estimates Allotments 

details authorized Expenditures 

A Salaries 11,895 00 11,895 00 10,610 28 

B Advertising and Publicity 5,000 00 8,600 00 8,600 00 

C Sundries 2,000 00 2,000 00 1,432 92 

D Professional and Special Services 4,000 00 400 00 

E Transportation and Travelling Expenses . . . 2,000 00 2,000 00 1,462 98 

$ 24,895 00 $ 24,895 00 $ 22,106 18 



Comments 

A As of March 31, 1942, there were 3 employees paid from this vote. The following were 

receiving annual salaries of $2,400 or over on that date: E. Couture, $5,220; M. Johnson, 

$3,720. 
B Covers the cost of publication of booklet "The Canadian Mother and Child." (See also 

vote No. 215 where $1,363.85 is charged for this publication.) 
E Travelling expenses of $300 or over were paid as follows: E. Chasse, $651.22; E. Couture, 

$655.36. 



Vote 233 Public Health Engineering 34,920 00 

Expenditures 33,368 44 

Lapsed $ 1,551 56 

Estimates Allotments 

details authorized Expenditures 

A Salaries 22,620 00 23,620 00 23,574 47 

B Telephones, Telegrams and Postage 800 00 950 00 878 96 

C Equipment 500 00 500 00 229 46 

D Sundries 2,000 00 2,150 00 2,044 73 

E Materials and Supplies 1,000 00 700 00 648 79 

F Transportation and Travelling Expenses.... 8,000 00 7,000 00 5,992 03 

$ 34,920 00 $ 34,920 00 $ 33,368 44 



Comments 

This vote was provided for the supervision, as regards the Public Health, of railways, 
bouts and ships and all other methods of transportation; the supervision of federal public 
buildings relative to health of Government employees; the administration of Public Works 



DEPARTMENT OF PENSIONS AND NATIONAL HEALTH 267 

Health Act and the making of sanitary surveys of shellfish areas. The activities of this 
branch chiefly concern the asurance of s;ifV wafer and ice supplies, the disposal of sewage 
and other matters pertaining to sanitation. 
A As of March 31, 1942, there were 10 employees paid from this vote. The following were 

receiving annual salaries of $2,400 or over on that date: F. M. Brickenden, S2,700; 

G. H. Ferguson, $4,500; J. R. Menzies, $2,700; A. H. Perry, $2,700. 
F Travelling expenses of $300 or over were paid as follows: Jas. B. Baty, $342.20; F. M. 

Brickenden, $993.56; G. H. Edgecombe, $1,237.28; W. R. Edmonds, $447.53; G. H. Ferguson, 

$405.35; W. G. McKay, $708.12; J. R. Menzies, $632.12; A. H. Perry, $717.11; 8. Whittaker, 

$383.05. 

Vote 224 Treatment of Sick Mariners 206,470 00 

Vote 434 Further amount required 200,000 00 

406,470 00 
Expenditures 385,070 14 

Lapsed $ 21,399 86 



Estimates 
details 

A Salaries 17,920 00 

B Telephones, Telegrams and Postage 300 00 

C Equipment 250 00 

D Lands and Buildings 1,000 00 

E Sundries 2,500 00 

F Professional and Special Services 372,000 00 

G Rents 

II Materials and Supplies 10,000 00 

I Transportation and Travelling Expenses.. 2,500 00 



Allotments 




authorized 


Expenditures 


21,720 00 


21,607 17 


650 00 


584 29 


2,100 00 


1,622 23 


4,000 00 


3,411 48 


1,700 00 


1,578 08 


357,150 00 


340,229 36 


1,800 00 


1,690 49 


14.650 00 


12,110 01 


2,700 00 


2,237 03 



S 406,470 00 S 406,470 00 S 385,070 14 



Comments 

Part V of the Canada Shipping Act, 1934, which is administered by the Department of 
Pensions & National Health under authority of Order in Council P.C. 2875, provides for 
levying tonnage duties on ships arriving at Canadian ports and for gratuitous medical and 
surgical treatment to si<k mariners employed on board and belonging to ships on which such 
duties have been paid. 32,142 sick mariners were treated during the year, of whom 3,826 
required hospitalization. 

Note. — Tonnage duties collected during the year amounted to $400,069.17. 

A As of March 31, 1942, there were 24 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date: H. A. Creighton, $2,500; J. W. 
Macintosh, S2,400; J. J. Roy, S2,500. 

F This expenditure includes: — 

(a) Hospital Maintenance, $247,070.70— accounts of S2,000 and over: Camp Hill Hospital, 
Halifax. $5,766; Halifax Infirmary, Halifax, $57,811.85; Hamilton Memorial Hospital, North 
Sydney, $5,032; Hotel Dieu, St. Vallier, S3,460; Immigration Hospital, Quebec, $2,991; 
Jeffrey Hale Hospital, Quebec, $2,333.55; Lancaster Hospital, St. John, $3,213; Laurentian 
Sanatorium, Ste. Agathe des Monts, $2,592; Montreal Convalescent Hospital, Montreal, 
$5^76; Montreal General Hospital, Montreal, S13.129.10; Nova Scotia Sanatorium, 
Kentville, $10,764; Royal Edward Institute, Montreal, S4.162; Royal Victoria Hospital, 
Montreal, $2,767; St. John General Hospital, St. John, S23,626; St. John Tuberculosis 
Bospital, St. John, $2,251.35; St. Joseph's Hospital, Three Rivers, S3,862.50; Saint Luc 
Bospital, Montreal, $21,048; St. Paul's Hospital, Vancouver, $14,570.05; Sacre Coeur 
Hospital, Montreal, $2,316; Sacred Heart Hospital. Cheticamp, $2,589.50; Sydney Hospital. 
Sydney, $25,223.50; Vancouver General Hospital, Vancouver, S2.U1.60. 



268 



AUDITOR GENERAL'S REPORT 



(b) Payments of medical fees and clinics, $86.272.21 — accounts of $1,000 and over: 
L. H. Appleby, Vancouver, $2,215; G. R. Deveau, Arichat, N.S., $1,296.25; J. A. Donahoe, 
Barrington Passage, N.S., $1,797.05; Joseph Gibbs, Vancouver, $2,662; H. Carson Graham, 
North Vancouver, $1,293.70; Immigration Hospital, Halifax, $12,315; Lancaster Hospital, 
St. John, $1,077; H. E. Mann, Halifax, $2,678.25; New Brunswick Department of Health, 
$1,385; Nova Scotia Department of Health, $2,020; W. G. J. Poirier, Cheticamp, $2,205.25; 
J. H. Remington, Three Rivers, $4,606.35; St. Luc Hospital, Montreal, $1,603; Eug. 
Tremblay, Chicoutimi, $1,791.50. 

(c) Payment of nurses' fees, $3,681.90. 

(d) Miscellaneous, $3,204.55. 



Vote 225 Industrial Hygiene 11,230 00 

Expenditures 7,294 99 

Lapsed $ 3,935 01 

Estimates Allotments 

details authorized Expenditures 

A Salaries 9,645 00 9,645 00 6,045 62 

B Telephones, Telegrams and Postage 100 00 100 00 34 62 

C Equipment 500 00 500 00 405 79 

D Sundries 485 00 485 00 463 15 

E Transportation and Travelling Expenses . . 500 00 500 00 345 81 

$ 11,230 00 $ 11,230 00 $ 7,294 99 



Comments 

A As of March 31, 1942, there were 4 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date: C. F. Blackler, $3,540; K. K. Kay, 
$3,240. 



Vole 226 Medical Investigations 34,810 00 

Expenditures 24,007 34 

Lapsed $ 10,802 66 

Estimates Allotments 

details authorized Expenditures 

A Salaries 33,360 00 33,360 00 23,275 68 

B Telephones, Telegrams and Postage 50 00 50 00 5 21 

C Equipment 100 00 100 00 1 00 

D Sundries 200 00 200 00 30 

E Professional and Special Services 500 00 500 00 276 33 

F Materials and Supplies 300 00 300 00 185 42 

G Transportation and Travelling Expenses. . 300 00 300 00 263 40 

$ 34,810 00 $ 34,810 00 $ 24,007 34 



Comments 

These expenditures are in connection with the certification of medical fitness of entrants 
to the Government Service appointed by the Civil Service Commission; to supervise gener- 
ally the health of Civil Servants and to carry out special medical investigations and studies 
relating to health matters. 

A As of March 31, 1942, there were 7 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date, or at date of separation (shown in 
brackets): F. S. Burke, $5,220; H. T. Douglas, $4,620; G. Heidman, $3,720; H. D. Parker, 
$3,120 (Apr. 7); M. Parks, $3,480 (Dec. 20). 



DEPARTMENT OE PENSIONS AND NATIONAL HEALTH 269 

Vote 435 Nutrition Services 10,000 00 

Expenditures 7,134 46 



Lapsed $ 2,865 54 

Intimates Allotments 

details authorized Expenditures 

A Salaries 6,000 00 6,000 00 4,902 54 

B Telephones, Telegrams and Postage 100 00 100 00 35 44 

C Equipment 100 00 100 00 5 00 

D Materials and Supplies 300 00 300 00 294 69 

E Transportation and Travelling Expenses.. 3,500 00 3.500 00 1,896 79 



$ 10,000 00 S 10,000 00 S 7.134 46 



Comments 

This vote is provided for educational work regarding food values, choice of foods, etc., 
in the home, cafeterias, etc., and to make available expert opinion on nutritional subjects to 
the Department of National War Services. 
A As of March 31, 1942, there were 6 employees paid from this vote. The following were 

receiving annual salaries of $2,400 or over on that date: M. W. Harlow, $3,120; L. B. Pett, 

$4,080. 
E Travelling expenses in excess of $300 were paid as follows: N. Hinton, $351; A. Jessop. 

S335.55; L. B. Pett, $502.10; J. Skene, $375.36. 

Vote 227 Venereal Diseases 50,000 00 

Expenditures 49,408 82 

Lapsed $ 591 18 



Comments 

This vote was provided for the purchase of arsenical preparations for distribution to the 
several Provinces, the Provincial authorities undertaking that there will be no diminution 
in their activities for the control and prevention of venereal diseases. 

Purchases were made as follows: Abbott Laboratories Ltd., Montreal, $160.66; Merck & 
Co, Montreal, $4,622.51; Parke Davis & Co., Walkerville, $29,015.98; Rougier Freres, 
Montreal, $8,108.40; Synthetic Drug Company Ltd., Toronto, $7,501.27. 

These drugs were delivered direct to the Provinces as follows: Nova Scotia, $549.84; 
Prince Edward Island, $93.75; New Brunswick, $2,241.38; Quebec, $16,169.31; Ontario, 
118,774.91; Manitoba, $3,627.31; Saskatchewan, $2,275.91: Alberta. 82,411.10; British Columbia, 
$3,265.31. 

Vote 228 Grants to Institutions assisting Sailors . . .$ 2,600 00 



Navy League of Canada, Halifax 

Sailors' Institute, North Sydney 

Navy League of Canada, Sydney 

Seamen's Mission Society, Saint John ... 

Catholic Sailors' Club, Saint John 

Catholic Sailors' Club, Montreal 

Catholic Sailors' Club, Hochelaga Branch 

Montreal Seamen's Institute 

Montreal Sailors' Hostel 

Catholic Seamen's Club, Quebec 

Quebec Seamen's Institute 

Vancouver Sailors' Home 

Victoria Seamen's Institute 



Estimal 




details 


Expenditures 


200 00 


200 00 


200 00 


200 00 


200 00 


200 00 


200 00 


200 00 


200 00 


200 00 


200 00 


200 00 


200 00 


200 00 


200 00 


200 00 


200 00 


200 00 


200 00 


200 00 


200 00 


200 00 


200 00 


200 00 


200 00 


200 00 


$ 2.600 00 


$ 2.600 00 



270 AUDITOR GENERAL'S REPORT 

MISCELLANEOUS GRANTS 



Vote 229 Canadian Welfare Council 

Vote 230 Canadian National Committee for Mental Hygiene 

Vote 231 Health League of Canada 

Vote 232 Canadian National Institute for the Blind 

Vote 233 L 'Association Canadienne Francaise des Aveugles. . 

Vote 234 L'Institut Nazareth de Montreal 

Vote 235 Montreal Association for the Blind 

Vote 236 Canadian Tuberculosis Association 

Vote 237 Victorian Order of Nurses 

Vote 238 St. John Ambulance Association 

Vote 239 Canadian Red Cross Society 



PENSIONS AND OTHER BENEFITS 



Estimates 




details 


Expenditures 


8,100 00 


8,100 00 


10.000 00 


10,000 00 


5,000 00 


5,000 00 


18,000 00 


18,000 00 


4,050 00 


4,050 00 


4,050 00 


4,050 00 


4,050 00 


4,050 00 


20,250 00 


20,250 00 


13,100 00 


13,100 00 


4.050 00 


4,050 00 


10,000 00 


10,000 00 


$ 100,650 00 


$ 100,650 00 



Vote 240 Pensions payable to men on Active Service, Northwest Rebel- 
lion, 1885, and General Pensions 18,000 00 

Expenditures 17,593 34 

Lapsed $ 406 66 



Comments 

This expenditure is made up as follows: Non-permanent Active Militia, $13,809.84; 
Northwest Rebellion, 1885, $3,507.50; Civil Flying, $276.00. 



Militia Penstions Act, 1901, c. 133, R.S $1,648,362 80 

Comments 

This vote was provided for service pensions to Officers and Men of the Permanent 
Active Militia, the Royal Canadian Navy and the Permanent Active Air Force. 

Note. — Revenue from abatements from Pay and Allowances from Officers appear under 
details of the National Defence Department. 

On March 31, 1942, 1,785 pensions were in issue, of which 233 were in respect of dependents 
of deceased officers. 



Annuity to Col. John T. C. Thompson — Appropriation Act, No. 3, c. 53, 

1939 $ 4,999 92 



SUPERANNUATION AND RETIREMENT BENEFITS 

Gratuities to families of deceased employees, Civil Service Act, c. 22, R.S. . $ 4,350 00 



POST OFFICE DEPARTMENT 

Under authority of the Post Office Act, c. 161, RS. (as amended), and the Savings 
Banks Act, c. 15, RJS., the Posl Office Department, under the direction of (ho Posti 
General, is entrusted with the management and operation of the Postal Servici - of Canada 

and the Post Office Savings Hank. In addition, the Department also performs certain 
services of an agency nature for other departments (without remuneration in 
instances); ••hid' among these arc the following: postmasters are required to act as 
Deputy Registrars under the provisions of the National Registration Regulations; payments 
on Dominion Government annuities are received; unemployment insurance stamps, radio 
licences, war savings stamps and certificates are sold; mail is examined for the Foreign 
Exchange Control Board; and supplies of forms, literature, etc., arc distributed to the 
public on behalf of the Department of National Revenue, Income Tax Division and the 
Wartime Prices and Trade Board. 

Post Offices are divided into two main groups, namely, staff offices and revenue offices. 
The Postmasters and staffs of staff offices are paid from Parliamentary Appropriations 
whereas the postmasters of revenue offices, and through them their staffs, except letter 
carriers, are paid on a commission basis by means of commission warrants issued from head- 
quarters at Ottawa, and cashed out of Post Office funds in their hands. Letter carri- 
paid from Parliamentary Appropriations in all cases. The various post offices are grouped 
according to postal districts, each district being under the superintendence of a District 
Director or Superintendent, controlled from departmental headquarters at Ottawa. District 
Offices are situated at Halifax. Charlottetown, Saint John, N.B., Quebec, Montreal, Ottawa, 
Toronto, London, North Bay, Winnipeg, Moose Jaw, Saskatoon, Edmonton. Calgary, and 
Vancouver. 

According to the Departmental and Treasury records, the operations of the Depart- 
ment during; the fiscal year 1941-42, resulted in a surplus of $4,530,479.71, consisting of 
revenues amounting to $55,515,636, less statutory and appropriation expenditures, $41,501,869.04 
and disbursements from revenue of $9,483,287.25. This, however, is only an approximate 
statement of the results of operations because (i) account is not taken of the revenues 
and expenditures representing the value of work done and accommodation supplied by the 
Post Office Department, for other departments, without payment, and vice versa, and 
(ii) the revenues improperly include the value of excise taxes derived from the sale of post- 
age stamps, etc., for use in respect of imposts under the Special War Revenue Act. 

The Post Office Guarantee Fund was established on March 14, 1898, under authority 
of the Post Office Act (Section 7q), as a safeguard against loss from defalcations. It was 
built up, in the first instance, from compulsory contributions made by Post Office employees 
during the period from inception to April 1, 1919; but since that date, the interest credited 
OD ih" capital amount of the fund has been more than sufficient to meet all known losses. 
At the commencement of the fiscal year 1941-42, the fund amounted to S362.690.75; during 
the year, the interest increment was $13,618.11, and the net amount of claims paid was 
$3,952.50. At the close of the fiscal year, the fund amounted to $372,356.36; $275,290.72 
was invested in Dominion of Canada bonds (par value $294,000) and the remainder was 
on deposit in the Post Office Savings Bank. 

REVENUES 

Summary 

1941-42 1940-41 
Ordinary Revenue — 

Postal Revenue 55,477,159 OS (8,062, 152 91 

Casual Revenue 3S,392 92 16.S72 18 

Fines and Forfeitures 84 00 15 1 00 



55,515,636 00 48,079,479 09 

L m : Disbursements 9,483.287 25 7,679,086 46 



S 46,032,348 75 $ 40.400,392 63 



272 AUDITOR GENERAL'S REPORT 

The increase in total revenue of $7,436,156.91 over that of the fiscal year 1940-41 is 
accounted for in part by increases in the sale of (i) stamps, registration and insurance fees, 
special delivery stamps, stamped envelopes, post cards, bands, wrappers, etc., $4,291,314.85; 
and (ii) postage meter and postage register machine impressions on mail matter, $2,134,785.19. 

Details 

Postal Revenue 

RECEIPTS 

A Postage: — 
Sale of stamps, etc.: 

Postage stamps, registration and insur- 
ance fees, special delivery stamps, 
stamped envelopes, post cards, bands, 

wrappers, etc 35,716,908 14 

Postage paid in cash (without the use 
of postage stamps) : 

Postage meter and postage register 
machine impressions on mail matter 12,573,716 24 

Newspapers and periodicals mailed in 
bulk according to weight 2,023,831 83 

Printed matter — including books, cata- 
logues, circulars, handbills, etc. (usually 
mailed in bulk for general distribu- 
tion) 1,111,558 07 

Postage on gold bullion shipments to 
the Royal Mint and parcels of muti- 
lated bank notes (mailed by various 
banks to the bank of Canada) 56,690 94 

Postage collected by special arrange- 
ments with certain Government De- 
partments 6,689 01 

Trans-Atlantic air mail postage on letters 
from H.M. Ships in Canadian waters 5,330 45 

Payments received from foreign countries 
(for the calendar year 1941) : 

Postage on parcels received from other 
countries for delivery in Canada.. 306,761 15 

Transit charges on foreign mail for- 
warded through Canada to other 
countries 404,064 66 

52,205,550 49 

B Money Orders: — 

Commissions and revenue taxes collected 
from purchasers of Canadian money 
orders, payable in Canada and else- 
where 2,284,001 81 

Commissions collected from foreign coun- 
tries (other than the United States), 
for the calendar year 1941, on foreign 
money orders payable in Canada 1,186 22 

Foreign exchange 35,288 16 

2,320,476 19 

C Postal Notes:— 

Commissions and revenue taxes collected 

from purchasers of postal notes 404,467 62 

D Rental of Post Office boxes and drawers, 
in post offices located in Dominion 
public buildings, including deposits 
on keys, less refunds 379,826 18 

E Sale of rural mail boxes 22,220 00 

F Miscellaneous Revenue 144,618 60 

55,477,159 08 



POST OFFICE DEPARTMENT 273 



DISBURSEMENTS 

Remuneration of revenue postmasters 

and staffs of revenue post offices: — 

Commissions on postage, money order 
Bales and box rental collections 7,157,314 57 

Rent contributions for space occupied 
by post offices not located in Dominion 
public buildings 450,879 01 

Allowances for forwarding mail to other 

post offices 142,166 70 

Allowances for receiving and dispatch- 
ing mails outside the usual hours 
of business 121,798 33 

Commissions on postal note sales 76,687 04 



H Discounts on postage, allowed to sub- 
postmasters, stamp vendors and users 
of postage meter machines; and com- 
pensation, for special delivery of letters 
and parcels, paid to messengers 

I Postage on parcels mailed in Canada for 
delivery in foreign countries 

J Transit charges on Canadian mail for- 
warded through foreign countries 

K Indemnities paid in respect of lost in- 
sured and C.O.D. parcels 

L Commissions paid to other countries on 
money order business 

M Losses by fire, burglary, etc 

N Cost of processing airgraph message films 

O Postage prepayments on soldiers' mail.. 



Casual Revenue 
P Sales:— 

Apartment house locks 1,780 36 

Material for uniforms 25,693 74 

Waste paper, scrap metal and twine 3,347 93 

Sundry 290 88 

Q Refunds of previous years' expendi- 
tures: — 
Post Office property damaged or lost . . 394 36 

Salaries 1,778 30 

Sundry 598 86 

R Other Receipts: — 

Disciplinary fines imposed on postal em- 
ployees 184 50 

Currency and proceeds from the sale of 
matter removed from dead letters 
and parcels 4.302 84 

Postage stamps found in post offices .... 21 15 



7,948.845 65 



322,459 97 




864,442 83 




302,728 90 




26,690 87 




5,684 23 

8,660 91 

3,769 30 

4 59 


9,483,287 25 






45,9«i:;.s71 83 



31,112 91 



2,771 52 



4.508 49 

38.392 92 



274 AUDITOR GENERAL'S REPORT 

Fines and Forfeitures 

S Fines imposed for using or attempting 
to use, on mail matter, previously 
used postage stamps 84 00 



$46,032,348 75 

In accordance with the provision of 
Certified correct. Section 45 (1) of the Consolidated 

Revenue and Audit Act, I have, subject 
P. T. COOLICAN, to the appended audit notes, satisfied my- 

Aciing Deputy Postmaster self that the above revenues for 1941-42 
General. have been fully accounted for. 

WATSON SELLAR, 
Auditor General. 

Comments 

F Miscellaneous revenue — includes: (i) payments received from the Unemployment Insur- 
ance Commission as remuneration for distributing and selling unemployment insurance 
stamps, $128,250; (ii) Commissions received from the Department of Transport for radio 
licences sold, $9,100.85; proceeds from the sale of mailing lists, $3,501.95; net profit on 
personal messages mailed to enemy and enemy occupied countries, $1,535.01; cash over- 
ages reported by postmasters, $865.88. 

G Postmasters of revenue post offices are paid in accordance with the scales of remuneration 
set forth in the Civil Service Commission's classification of the Civil Service, and, with 
the exception of offices where the revenues do not exceed $3,000 per annum (of which the 
postmasters are exempted from the provisions of the Civil Service Act, under the terms 
of Section 57A), appointments are made under the jurisdiction of the Civil Service Com- 
mission. During the year under review, 12,258 revenue postmasters were employed, of 
whom 12,160 were paid on a commission basis (including 3,944 who received the minimum 
commission of $100), and 98 were paid at fixed annual rates. 

K Total payments during the year" amounted to $73,484.32 and collections of indemnities 
previously paid amounted to $46,793.45 leaving a net balance of $26,690.87, a portion of 
which may be recovered subsequently. 

M In addition to the sum of $8,660.91 (of which $7,748.10 applies to previous fiscal years) 
there was being carried in suspense at March 31, 1942, a sum of $14,508.28 representing 
losses not yet adjusted (including $9,871.07 applicable to previous fiscal years). 

Losses, including defalcations and burglaries wherein a postmaster or other post office 
official has been found to be implicated or is suspected of being implicated, are investigated 
by the Department with the object, among other things, of establishing responsibility. 
If criminal or personal responsibility of any postmaster or other post office employee is 
established, the loss, or as much of it as possible is recovered from the person or persons 
found responsible; or, if for some reason recovery cannot be so effected, a claim is made 
on the Post Office Guarantee Fund. 

Other losses, through burglary, acts of God, etc., of $50 and over, are charged against 
revenue under authority obtained by Order in Council; similar losses under $50 are also 
charged to revenue but without reference to Council or to Treasury Board. 

N From inception of airgraph service on November 15, 1941 to January 16, 1942 only. 

Audit Notes 

A These revenues should be, but are not, adjusted in respect of (i) advance payments 
received regarding postage on 'printed matter' mailed under permit, and 'postage meter 
and postage register machine impressions', and (ii) deferred payments regarding postage 
on 'parcels', 'newspapers and periodicals', and 'gold bullion shipments'. 

The sum of $24,547.59 representing the value of perforated O.H.M.S. stamps issued to 
various government departments and agencies, for which payment had not been received 
at March 31, 1942, was included as revenue. 



POST Oil' ICE DEPARTMENT 275 

The amounl of postage revenue which the Department would otherwise have received 
was reduced because an association known as the "National Livestock Records" was per- 
mitted, by the Department of Agriculture, to utilise the franking privilege which, under 
Section 42 of the Post Office Act, may be exercised only by the Governor General and 
government departments, at the scat of Government. 

ABC Includes revenue derived from excise taxes imposed under the Special War 
Revenue Ad on Letters, post cards, cheques, bills of exchange, promissory notes, receipts 
to banks for deposits withdrawn, travellers' cheques and money orders (including $188,702.72 
on postal notes and $523,956.18 on post office money orders). 

B C In previous years the revenues, from Money Orders and Postal Notes, included 
lapsed order- or notes issued during the fiscal year next but one preceding, less previously 
lapsed notes paid during the current fiscal year. No lists of lapsed orders and note> were 
established during the fiscal year under review and in consequence no revenue from this 
source is reported. As experience has shown that each year the value of redeemed notes 
and orders is less than the value of those issued, the changed procedure will result, in 
time, in the building up of a considerable liability which it is unlikely will have to be met. 
According to a direction of the Treasury Board surpluses arising from these sources 
were to have been treated as 'miscellaneous' or 'Casual Revenue' of the Department 
rather than as Post Office Revenue. It was following observations with respect to the 
Department's failure to observe this direction that the procedure was changed as outlined 
above. 

D These revenues should be, but are not, adjusted in respect of advance payments and key 
deposits received from box and drawer holders. 

G According to the provisions of the Civil Service Act, postmasters of revenue offices, 
where the revenues exceed $3,000 per annum, are to be appointed by the Civil Service 
Commission, but in the following cases, the postmasters at such offices were employed 
without the approval of the Commission for the periods indicated: Mont Joli, Que., Dec. 
16, 1936-Aug. 27, 1941; Riviere du Loup, Que., May 18, 1937-Nov. 4, 1941. 

H Discounts were paid, in some cases, to postage stamp, postage meter and postage register 
machine users who were not engaged in the sale, to the public, of postage stamps and, 
therefore, were not 'agents' of the department (within the intent of the provisions of 
Section 7(o) of the Post Office Act) ; thus the postal rates paid were in effect reduced 
below the scale authorized. 

P Sales of material for uniforms includes $7,980 deposited to the credit of the Receiver 
Genera] during the fiscal year 1940-41 (March 12, 1941) and not brought to account until 
1941-42. 

APPROPRIATIONS AND EXPENDITURES 

A total of $42,877,906.31 was available for expenditure on account of the Post Office 
Department of which $42,849,721.83 was provided in the annual appropriation act; $28,184.48 
was authorized by continuing statutory provisions. Expenditures were S4 1,50 1,869 .04 for the 
fiscal year 1941-42, an increase of 82,802,195.28 over those of 838,699.673.76 in 1940-41. 

In addition, a total of S645,683 was allotted to the department from the War Approp- 
riation. Expenditures, thereunder, amounting to $492,459.62 are shown in the War Expen- 
ditures section of this report. 

No. of 
Vote Services Appropriations Expenditures Lapsed 

Statutory Salary of Postmaster General, 

Salaries Act, c. 182, R.S 10,000 00 10,000 00 

Statutory Motor Car Allowance, Appro- 
priation Act No. 5, c. 61, 1931 2,000 00 2,000 00 
241] 

*436|- Departmental Administration... 606,633 74 570,375 35 36.25S 39 

*420J 

242] Post Offices, including salaries and 

*437J> other expenses of Headquart- 

*420J ers and Staff Post Offices and 

supplies and equipment for 

Revenue Post Offices 16,289,124 34 16,147,743 85 141,380 49 



♦Supplementary vote. 



276 AUDITOR GENERAL'S REPORT 

No. of 
Vote Service Appropriations Expenditures Lapsed 

243 Inspection and Investigation... 934,255 00 863,627 28 70,627 72 

2441 

*438|- Railway Mail Service 12,079,755 45 11,965,235 85 114,519 60 

*420J 

245 Air and Land Mail Services .... 11,514,882 00 10 582,347 74 932,534 26 

246 1 Audit of Revenue, Money Order, 
*420f Postal Note and Savings Bank 

Business; issue of Postage 
Stamps and Postal Notes, in- 
cluding amounts required to pay 
allowances to Office Appliance 
Operators Grade 2, in accord- 
ance with regulations approved 

by Order in Council 1,420,071 30 1,344,354 49 75,716 81 

.$,856,721 83 41,485,684 56 1,871,037 27 

PENSIONS AND OTHER BENEFITS 

247 Payment of compassionate allow- 
ances to employees injured while 
in the performance of their 
duties, or to other persons in- 
jured while performing duties 
in any way connected with the 
Postal Service, or in protecting 
His Majesty's mails, or to the 
dependents of such employees or 
other persons who may be killed 
while so engaged; payments to 
be made only on the specific 
authority of the Governor in 
Council 5,000 00 5,000 00 

SUPERANNUATION, RETIREMENT AND 
OTHER BENEFITS 

Statutory Gratuities to families of deceased 
emplovees, Civil Service Act, 
c. 22, R.S 16,184 48 16,184 48 



$42,877,906 31 $41,501,869 04 $1,376,037 27 



The above accounts have been examined 
Certified correct. and audited under my direction, in accord- 

ance with the provisions of the Con- 
solidated Revenue and Audit Act, and sub- 
B. G. McINTYRE, ject to the observations in this report, I 

Comptroller of the Treasury. certify that in my opinion they are correct. 

WATSON SELLAR, 

Auditor General. 

• The statutory and appropriation expenditures on account of salaries and allowances 
(including cost of living bonuses) during 1941-42 amounted to $20,540,896.52 as compared 
with $19,148,565.75 (total salaries $19,341,837.16 less paid from War Appropriation, $193,271.41) 
for 1940-41. These amounts do not include the remuneration of 'Revenue' postmasters and 
their staffs which was paid from Post Office revenue (see Revenues, Comment "G"). 



Salary of Postmaster General, the Hon. W. P. Mulock, Salaries Act, 

c. 182, R.S $ 10,000 00 



♦Supplementary vote. 



POST OFFICE DEPARTMENT 277 

Motor Cctr Allowance, the Hon. W. P. Mulock, Appropriation Act, I\o. 5, 

c. 61, 1931 $ 2,000 00 



Vote 241 Departmental Administration 552,180 00 

Vote 436 Further amount required 50,000 00 

Vote 420 Supplementary provision for payment of cost of living 

bonuses 4,453 74 

606,633 14 

Expenditures 570,375 35 

Lapsed $ 36,258 39 



Estimates Allotments 

details authorized Expenditures 

A Salaries of Departmental Administration..! 294,533 74 294,533 74 294.533 74 

B Mail Bags 200,000 00 200,000 00 198,485 74 

C Travelling Expenses 8,000 00 8,000 00 5,100 64 

D Printing and Stationery 72,600 00 70,600 00 44,682 31 

E Equipment and Maintenance 2.500 00 2,500 00 2,016 52 

F Telegrams and Telephones 3,000 00 3,000 00 2,099 59 

(; Sundries 6,000 00 8,000 00 7,989 39 

H Publicity and Advertising 20,000 00 20,000 00 15,467 42 

$ 606,633 74 $ 606.633 74 S 570.375 35 



Comments 

These votes were provided to pay the salaries (including cost of living bonuses) and 
other expenses incident to the activities of the departmental administration staff at Ottawa, 
consisting of the offices of the Postmaster General, the Deputy and the Assistant Deputy 
Postmasters General, and the following departmental branches: Administrative Services, 
Public Relations, and Equipment and Supply; and also the cost of making and repairing 
mail bags. 

A As of March 31, 1942, there were 163 employees paid from this allotment. The following 
the rate- paid to persons receiving annual salaries of $2,400 or over on that date, 
or at date of separation (shown in brackets) : J. A. Sullivan, Deputy Postmaster General, 
S9,000; W. D. Adamson, S4.080; H. J. H. Beaulieu, S5.220; E. D. H. Boyd, S2,760; 
G. A. Boyle, S3.600; E. A. R. Butterworth, $3,720; L. Cant in. $2,400; P. f. Coolican, 
$7,500; D. A. Costello, S3.000; B. J. Farrell, S3. 180, secretarial allowance, S600; M. Grondin, 
S3.420; W. Hearty, S2.700; G. A. L. Hill, $2,400; R. Hill. S4.200; L. E. Johnson, $2,400; 

F. E. Jolliffe, $4,020; T. H. G. Kenvon. $3,420; J. Labrosse, S2,400; A. Lalonde, S4,320; 
O. Leger, $2,700; G. MacNeill, 82,400; J. T. McElroy, $3,720; F. W. McLaughlin, $2,400; 
\Y. 1\ Mesley, S3.000, (Dec. 1); T. P. Murphy, $5,220; PI. \. Pearl, S2.SS0; O. E. Thibault, 
S2,400; W. J. Turnbull, S4.500, and a secretarial allowance of $600 paid by the Prime 
Minister's Office (transferred to Prime Minister's. Office Aug. 6); T. Weston, $2,700; 

G. M. Whillans, S3,600. 

Payment of a war duties supplement of $600 per annum to B. J. Farrell from Aug. 21. 
1941, was authorized by Order in Council of May 28, 1912 (P.C. 25 4183). 
B Accounts of S1,000 or over were: Bell Thread Co. Ltd, Hamilton, S5,S40.73; British 
Columbia Penitentiary, $3,115.50; Canadian Spool Cotton Co., Montreal, $6,2S0.49; Hugh 
Carson Co. Ltd., Ottawa. $12,376.05; Dorchester Penitentiary, $3,504.58; H.M. Govern- 
ment of the United Kingdom of Great Britain (cheque to Receiver General for payment 
through Post Office Account), $2,486.06; Hamilton Cotton Co. Ltd., S9.606.42; Kingston 
Penitentiary, $19,S36.11; Manitoba Penitentiary, S10.1S2.42; Mayer Sealing Devices Reg'd., 
Montreal, $3,663.01; Patrick Bros., Ottawa. $1,569.55; Pntchard-Andrews Co. of Ottawa, 
Ltd., $2,410.17; Richmond Tailors, Richmond Hill, Out., S4.974.83; W. Robinson & Son 



278 AUDITOR GENERAL'S REPORT 

Converters Ltd., Toronto, $25,775.51; St. Vincent de Paul Penitentiary, $20,735.01; 

J. Spencer Turner Co. Ltd., Hamilton, $52,362.73; United-Carr Fastener Co. of Canada 

Ltd., Hamilton, $8,128.68. 
C Payments amounting to $300 or over were made as follows: Hon. W. P. Mulock, $300; 

H. Beaulieu, $344.69; G. A. Boyle, $817.70; P. T. Coolican, $366.92; R. Hill, $1,127 08- 

J. A. Sullivan, K.C., $580.55; G. M. Whillans, $573.05. 
D Supplied by the King's Printer. Office appliances including multilith equipment, type- 
writers, etc., to the value of $3,173.90, were paid for from this allotment. 
F Telephone rentals at Ottawa were paid from Public Works Vote "261, Telephone Sendee 

at Ottawa", but the relative long distance tolls incurred at Ottawa were paid from this 

allotment. 
One account of $1,000 or over was incurred during the year; this was for $1,409.35, 

paid to the Bell Telephone Co. of Canada. 
G Accounts of $1,000 or over were: International Bureau of the Universal Postal Union, 

Berne, Switzerland, $3,275.17; International Bureau of the Postal Union of the Americas 

and Spain, Montevideo, Uruguay, $3,266.27 (being $1,537.22 for Canada's share of the 

cost of the bureau for 1940, and $1,729.05 for 1941). 
H Accounts of $1,000 or over were: Department of Public Printing and Stationery, 

$7,817.71 (being $7,512.82 for publicity folders and $304.89 for truck signs) ; National Film 

Board, Ottawa, $4,622.02; Walsh Advertising Co. Ltd., $2,299.62 for publicity folders. 

Vote 242 Post Offices, including salaries and other expenses of Head- 
quarters and Staff Post Offices and supplies and equip- 
ment for Revenue Post Offices 15,115,343 00 

Vote 437 Further amount required 376,508 00 

Vote 420 Supplementary provision for payment of cost of living 

bonuses 797,273 34 

16,289,124 34 
Expenditures 16,147,743 85 

Lapsed $ 141,380 49 



Estimates Allotments 

details authorized Expenditures 



A Salaries — Headquarters Administration. 127,605 00 

B Salaries— Post Office Staffs 15,462,979 34 

C Commissions to Postmasters on Savings 

Bank business 6,000 00 

D Travelling Expenses 1,750 00 

E Printing and Stationery 224,140 00 

F Equipment and Maintenance 430,000 00 

G Telegrams and Telephones 33,500 00 

H Sundries 3,150 00 



127,605 00 


124,959 32 


15,462,979 34 


15,462,979 34 


6,000 00 


2,618 13 


2,250 00 


1,328 50 


224,140 00 


181,667 33 


430,000 00 


338,706 99 


33,500 00 


33,429 85 


2,650 00 


2,054 39 



$16,289,124 34 $16,289,124 34 $16,147,743 85 



Comments 

These votes were provided to pay (i) the salaries (including cost of living bonuses) and 
other expenses incident to the activities of city and other staff post offices, and of the 
departmental administrative unit at Ottawa, which controls these offices; and (ii) the cost 
of supplies and equipment of post offices, the postmasters of which are remunerated on a 
percentage basis. 

A As of March 31, 1942, there were 74 employees paid from this allotment. The following 
were the rates paid to persons receiving annual salaries of $2,400 or over on that date, 
or at date of separation (shown in brackets): G. C. Avery, $4,200; N. T. Barry, $2,400; 






POST OFFICE DEPARTMENT 



279 



II. Bandy, $3,600; 
$2,400; E. Pelletier, 



J. D. Campbell, $3,180 (Oct. l): J. L. A. Gagnon, $3,960; I:. 
W. MacDonald, $2,400; A. MacFarlane, S3,000; J. C. I). Moraia, 

$2,400; F. W. Pheasant, .$3,000; E. J. Underwood, 80,000. 
B As of March 31, 1912, there were 9,256 employees paid from bhie :il!otment. The follow- 
ing were the rales paid to employees, of the various post offices, who wore receiving 

annual salaries of $2,400 or over on that date, or at date of separation (shown in brackets) : 



Salary 
rates 

Nova Scotia 

Glace Bay: 

Burchell, J. R $2,640 00 

Halifax: 
Hire, C. W 2,520 00 



La vers, P. 
Warner, F 


A.. 
A. 






2,400 00 

3.480 00 


Sydney : 
McDonald, 
McKinnon, 


M. 
L. 


M. 
H. 


L 

A 


2,400 00 

2,880 00 


Truro : 
Bryson, J. 

Mackenzie, 


H. 
F. 


B. 




2,400 00 

2,880 00 


Yarmouth : 
Dunn, C. 


P.. 






2,400 00 



Prince Edward Island 
Chailottetown: 

Pickard, H. L 2,520 00 



W. 
D. 



A 2,400 00 

F 2,880 00 



New Brunswick 
Fredericton: 

Anderson, 

( \tmeron, 
Moncton : 

Henderson 
Saint John: 

Mackin, W 2,400 00 

Shannon, F. M 2,640 00 



J. S 3,420 00 



Quebec 



Chicoutimi 



Desbiens, L. P 2,640 00 



Granby: 
Lortie, 



P. E. 



2,640 00 



Hull: 
Frechette, A 2,640 00 

Levis : 
Martineau, J. C 2,640 00 

Montreal : 

Asselin, M 2,400 00 

Beaulieu, J. H 2,400 00 

Brodeur, J. O. L 3,240 00 

Caisse, L 2,400 00 

Crochetiere, J. R 4,800 00 

DeCotret, P. R 3,000 00 

Dupuis, F. P. C 2,400 00 

Gauthier, A 3,840 00 

Gauvin, J. E. S 3,120 00 

Hardy, J. W. 1 3,120 00 

Lamoureux, J. R. A 2,400 00 



Salary 

rates 

Longpre, J. A 2,100 00 

Maurault, H 2,700 00 

McKeogh, P. R 2,700 00 

Portelance, A 3,120 00 

Sylvain, J. B. 2,400 00 

Teasdale, E. E 2,400 00 

Verville, T. F 3,600 00 

St. Hyacinthe: 

Boucher, J. L 



2,640 00 

Sherbrooke : 

Desruisseaux, E, J 2,580 00 

Soles, C. E 3,120 00 

Thetford Mines: 
Lemieux, J. R. E 2,640 00 

Three Rivers: 
Bernaquez, L 2,640 00 

Ontario 
Belleville : 

Lang. J. E 2,400 oo 

Trauisch, J. V 2,880 00 

Brantford : 

Hartley, H. J 3,120 00 

Nightingale, G. E 2,580 00 

Brockville : 
Wooding, A 2,640 00 

Chatham : 

King, L. D 2,400 00 

Reid, S. A 2,880 00 

Collingwood : 
Bellamy, F. H 2,400 00 

Cornwall : 
St. Laurent 

Fort William 
Carroll, T. 
Stewardson, 

Gait : 

Mullin, P. 

Guelph: 
Mogk, W. 
Walker, M. 

Hamilton: 

Ford, H. A 3,420 00 

MacLean, W. M 4,080 00 

Stipe, C. D 2.400 00 

Kingston : 

Harkness, W. T 3,000 00 

Kirkland Lake : 
MacDonald, A. G 2,640 00 



W. A 2,640 00 

H 2,880 00 

R. H 2,400 00 

W 2,400 00 

H 2,580 00 

E. B 3,120 00 



280 



AUDITOR GENERAL'S REPORT 



Salary- 
rates 

Kitchener: 

Hachborn, T. H 3.120 00 

Oswald, C. L 2,580 00 

Lindsay : 

Warner, A. R 2,640 00 

London : 

Callahan, A. B 2,520 00 

Crawford, S. A 2,400 00 

Grimshaw, G. W. (Aug. 16) . . . 2,520 00 

McGill, H. W 3,480 00 

Niagara Falls: 

Farrell, G. T 2,580 00 

Phemister, W. H 3^120 00 

North Bay: 

Allen, J. P 2,880 00 

Laframboise, A. H 2,400 00 

Orillia : 

Devitt, T. C 2,640 00 

Oshawa : 

Gordon, W 2,580 00 

Mathison, F. T 3,120 00 

Ottawa : 

Bayly, N 2,400 00 

Cherry, W. A. (Feb. 1) 2,400 00 

Grain, R. H 2,400 00 

Cunliffe, B. J 2,760 00 

D'Auray, A 2,400 00 

Eastwood, W. (Mar. 16) 3,420 00 

Hall, R. E 2,400 00 

M ongenais, J. C. E. (Dec. 1) . . 2,880 00 

Needham, E. 2,520 00 

Pembroke : 

Coxford, R. C 2,640 00 

Perth : 

Spalding, P. M 2,400 00 

Peterborough : 

Lacheur, C 3,120 00 

White, H. E 2,580 00 

Port Arthur: 

Greer, M. E 2,880 00 

St. Catharines: 

Black, F. H 3,120 00 

Cline, A. R 2,580 00 

St. Thomas: 

Bennett, E. D 2,400 00 

Orchard, E. M 2,880 00 

Sarnia : 

McCann, T. J 2,880 00 

Tobin, E. J 2,400 00 

Sault Ste. Marie : 

Johnston, J. H 2,880 00 

Stratford: 

Blair, H. A. (Oct. 5) 2,400 00 

Ruston, F 2,760 00 

Sudbury : 

Miller, J. C 2,580 00 

Whitehead, H 3,120 00 



Salary 
rates 

Timmins : 

King, E. H 2,880 00 

Reid, E. L 2,400 00 

Toronto : 

Anderson, W. G 2,400 00 

Bell, J. E '. 2,400 00 

Berry, J. T 2,400 00 

Bovington, H. J 2,400 00 

'Carson, W. J 3,240 00 

Chainey, G. E 2,400 00 

Cormack, W. J 2,400 00 

Forsyth, A. G 3,240 00 

Gibson, W. W 2,400 00 

Giroux, J. C 3,000 00 

Harris, W. H 4,020 00 

Horton, W. H 3,000 00 

Isbister, W. R 2,400 00 

Johnston, W. H 2,400 00 

Mathews, J. A 2,400 00 

McCourt, J. T 3,000 00 

McKerihen, J. R. D 2,400 00 

Milne, G 2,400 00 

Naylor, J. S 3,240 00 

Newdick, S. G 2,760 00 

O'Connor, J. J 2,400 00 

Ryan, W. F. J. (Dec. 18) 2,400 00 

Sangstcr, B. T 3,720 00 

Scott, E. F 2,400 00 

Smith, A. V 2,400 00 

Stuart. E. A 2,400 00 

Stuart, G. M. C 3,000 00 

Sykes, W. E 2,400 00 

Thornton, H. R 2,400 00 

Walker, J. B 2,400 00 

Waterloo : 

Dotzert, C. 2,640 00 

Welland : 

Stewart, M. F 2,640 00 

Windsor : 

Kelley, J. C 3,720 00 

Mahoney, H 2,400 00 

Waddington, R. H 3,120 00 

Woodstock : 

Steele, J. R 2,880 00 

Manitoba 

Brandon : 

Bain, W. B 2,580 00 

Forbes, R. K 3,120 00 

Portage la Prairie: 

Mills, A. J 2,400 00 

Winnipeg : 

Aitken, J. R 2,400 00 

Bowie, J. T 3,000 00 

Carlyle, T. (Feb. 1) 3,240 00 

Cuthbert, J 2,400 00 

Edkins, J. A 3,000 00 

Fridfinnson, W. (Sept. 10) 2,640 00 

Kent, R 2,400 00 



POST OFFICE DEPARTMENT 



281 



Salary 
rates 

■tansell, A. G 2,400 00 

Murdoch, W 2,520 00 

Newton, S 2,400 00 

Rutledge, T. A 3.900 00 

Bterland, R 2,400 00 

Sutton, F. R 2,760 00 

Saskatchewan 

Moose Jaw: 
Baxter, W. G 2,700 00 

North Battleford: 

Allen, J. C. 2,640 00 

Prince Albert: 
Melton, C. E 2,640 00 

Regina : 

Bannerman, J 2,400 GO 

Christie, A. W 3.420 00 

iodbolt. F. T. C 2,400 00 

Eabelle, L. J. G 4,080 00 

fcssons, W. H. C 2,520 00 

Biompson, A. J 2.400 00 

Saskatoon: 

Dugglebv, L. H 2,400 00 

Bardy, II. F 2,820 00 

II isler, C. W 3.420 00 

Allx ■ hi 

'a! nary: 

Argue, F 3,480 00 

Black. A. H 2,760 00 

Black, (i. E 2.760 00 

Maguire, W. C. 1 2,400 00 

Stephen, R 2,760 00 

Bmonton: 

Caldwell, T. R ;. 2,400 00 

Campbell, A. 1) 2,400 00 

fallister, E. II 2,400 00 

Perraton. W. V 2,400 00 

r, J. X 3,120 00 



Salary 

rates 

Lethbridge: 

Darlington, A 2,400 00 

Ward, W. R 2,880 00 

Medicine Hal : 

Johnson, \V. J 2,640 00 

British Col in, i bin 

Nanaimo: 
Booth, E. B 2,640 00 

Nelson: 
Manahan, R. M 2,640 00 

\ew Westminster: 

Lord, J. W. C 3,120 00 

Morrow, G 2,580 00 

Prince Rupert : 
Morison, J. R 2,620 00 

Trail : 

Twaddle. J. B 2,640 00 

Vancouver: 

Black, A. S 2,760 00 

Churchill. G 2,400 00 

Davidson, A. E 2,880 00 

Hutchinson. G. A 2,400 00 

Lyon, H. S 2,400 00 

McConaghy, J. A 3,120 00 

Selwood, A. G 3,000 00 

Storey, C. C 3,900 00 

Victoria : 

Gardiner, G. H 3,420 00 

Humber, H. G 2,400 00 

Sinclair, J. B 2.820 00 

Yukon 

Dawson: 
Cameron, A., including living 

allowance of SI. 020 (Nov. 12) 2,640 00 
Johnstone, J. K.. including living 

allowance of 81,500 3,900 00 

White Horse: 
Dalglish, H.. including living 
allowance of S1.200 3,120 00 



Casual helpers, employed at 45 cents per hour, were paid S383.422.21 during the year; 
Bra Christmas helpers, employed at 45 cents per hour, were paid 8206,217.71. Under 
uthority of Order in Council P.C. 91/8400 of October 29, 1941. employees of the operating 
;ervice (outside service) engaged in manipulative duties, who were called upon to work 
vertinie during the Christmas season 1941, were paid in cash for tin 1 time so worked at the 
; 00 cents per hour, up to a maximum of 30 hours for any one employee. Payments 
n this regard amounted to $144,133.71. 

) One payment of S300 or over was made during the year, namely to B. J. Underwood. 
$502.20. 

Supplied by the King's Printer. Office appliances including typewriters, adding machines, 
etc.. to the value of Sl.525.49 were paid for from this allotment. 

A large portion of this expenditure was for uniforms, hoots, etc., for postal employees, 
as follows: uniforms and uniform repairs, S120..047.93; caps, waterproof clothing and 
other accessories, S29.428.96; cash allowances for hoots, S56.345.12; cloth for uniforms, 
$35,376.25. less cloth sold to uniform manufacturers, S13.329.97 (Cloth purchased in 
previous years was also sold to clothing manufacturers for $25,693.74 and is shown in the 
statement. of Revenues under the heading — Casual Revenue, Sales). 

59727-19 



282 AUDITOR GENERAL'S REPORT 

Other large items were: automobiles, supplies and repairs, $11,626.16; gasoline and oil, 
$7,994.30; mechanical equipment, $18,602.16; office furniture and accessories, $8,952.22; 
post office box repairs, keys, etc., $1,623.94; rubber stamps, stamp cushions, etc., 
$11,904.51; sanitary supplies, $7,958.79; scales, repairs and supplies, $32,038.39. 

Accounts of $1,000 or over were: Barringham Rubber Co. Ltd., Oakville, Ont., $4,624.50; 
British. American Oil Co. Ltd., $1,179.85; Jos. Brousseau, Ottawa, $1,100.34; Canadian 
Fairbanks-Morse Co. Ltd., Toronto, $4,578.60; Canadian Office & School Furniture Ltd., 
Preston, Ont., $1,987.50; Canadian Postage Meters & Machines Co. Ltd., Toronto, 
$9,127.15; Canadian Toledo Scale Co. Ltd., $22,121.02; Corrugated Paper Box Co. Ltd., 
Leaside, Ont., $2,128.67; Chrysler Corporation of Canada Ltd., Windsor, Ont., $2,122.02; 
Gurney Scale Co. Ltd., Hamilton, $2,982.69; Hield Brothers Ltd., Kingston, Ont., 
$7,924.07; S. S. Holden Ltd., Ottawa, $1,219.17; Hygiene Products Ltd., $2,291.38; 
Imperial Oil Ltd., $2,017.65; Interprovincial Equipment Co., Ottawa, $1,286.68; Frank 
P. Lalonde, Ltd., Montreal, $1,051.45; Laurentide Equipment Co. Ltd., Montreal, 
$3,549.17; Machine Works Ltd., Montreal, $3,801.58; Office Specialty Manufacturing Co. 
Ltd., Newmarket, Ont., $13,274.86; Paris Wincey Mills Co. Ltd., $2,546.86; Paton Manu- 
facturing Co. Ltd., Montreal, $2,472.37; J. E. Poole Co., Toronto, $2,106.30; Pollack 
& Dorfman, Quebec, $95,097.88; H. H. Popham, Ottawa, $3,171.25; Pritchard- Andrews 
Co., of Ottawa, Ltd., $10,318.10; William Scully Ltd., Montreal, $2,212.09; Steel Equip- 
ment Co. Ltd., Pembroke, Ont., $1,050; Tayside Textiles Ltd., Perth, Ont., $22,066.05; 
Trade and Commerce Department, $2,500; Uniform Company Reg'd., Quebec, $9,285.01; 
J. E. Wiegand & Co. Ltd., Kitchener, Ont., $14,411.94; Jay Wolfe Inc., Montreal, $2,917.45. 
G Telephone rentals at Ottawa were paid from Public Works Vote "261, Telephone Service 
at Ottawa", but the relative long distance tolls incurred at Ottawa were paid from this 
allotment. 

Payments of $1,000 or over (for service at several points in each case) were made to 
the following: Bell Telephone Co. of Canada, $22,154.98; British Columbia Telephone 
Co., $2,690.41; Manitoba Telephone System, $1,850.13; Maritime Telegraph and Tele- 
phone Co. Ltd., $1,561.18; New Brunswick Telephone Co., $1,254.08; Saskatchewan 
Department of Telephones, $1,471.95. 
H Includes an amount of $1,766.85 for the purchase of street car tickets used by district 
office staffs. 

Audit Notes 

B One employee was overpaid $11.32, which, according to the records of the Central 
Pay Office, was not recovered. 

Salaries were paid to four employees for periods of two or three months without proper 
authority and in four instances the salaries of employees were continued for several months 
after expiration of the periods for which their employment was authorized. 

C The apparent saving on this allotment arises from the fact that payments to postmasters 
for six months only were charged during the current fiscal year, payments for the remain- 
ing six months having been recorded as a disbursement from Post Office Revenue and 
recovered in the fiscal year 1942-43 from the corresponding vote. 
G Owing to the difficulties involved in the apportionment of charges for telegrams and 
telephones, all city and district office telegraph charges were paid from Vote 243 and all 
city and district office telephone rentals (with the exception of those at Ottawa) and tolls 
were paid from Vote 242; therefore, in so far as the telegram and telephone allotment 
of this vote is concerned, the expenditures incurred are arbitrarily reflected. 

Standard practice was not followed in paying for telephone services; for, inconsistent 
with the almost universal practice of paying monthly in advance, some accounts were 
rendered and paid quarterly, semi-annually and even yearly in advance without, in most 
cases, any compensating discount or other apparent justification for the lengthened periods 
of prepayment. This procedure, being inconsistent with the provisions of Section 30 of the 
Consolidated Revenue and Audit Act whereunder the deputy minister or other officer 
charged with the administration of the particular service is required to certify that the 
services have been performed, the propriety of prepayment in advance of the customary 
period is questioned. 

Vote 243 Inspection and Investigation 934,255 00 

Expenditures 863,627 28 

Lapsed $ 70,627 72 



POST OFFICE DEPARTMENT 



283 



A Salaries — Headquarters Administration. 

11 Salaries — District Office Staffs 

C Travelling Expenses 

D Printing and Stationery 

E Equipment and Maintenance 

F Telegrams and Telephones 

G Sundries 



Estimates 


Allotments 




details 


authorized 


Expenditures 


84.975 00 


84,775 00 


77,654 15 


748,400 00 


748,400 00 


707,604 98 


60,000 00 


60,000 00 


50,366 45 


36,300 00 


36,300 00 


25,023 52 


1,500 00 


1,500 00 


465 97 


2,000 00 


2,200 00 


2,088 43 


1,080 00 


1,080 00 


423 78 



$ 934,255 00 $ 934,255 00 S 863,627 28 



Comments 

This vole was provided to pay the salaries (including cost of living bonuses) and other 
expenses incident to the activities of the supervisory staff at Ottawa, and of the various 
district office staffs whose duty it is periodically to inspect post offices, investigate irregu- 
larities and administer the services employed in respect of the carriage and delivery of mails. 

A As of March 31, 1942, there were 45 employees paid from this allotment. The following 
were the rates paid to persons receiving annual salaries of $2,400 or over on that date: 
YV. J. P. Cantwell, $4,320; J. P. Coady, $2,760; H. Fortier, $5,220; W. C. McEachern, 
$3,600; G. M. McRae, $2,400; J. D. Mooney, $2,400; M. A. Yctts, $3,000. 

B As of March 31, 1942, there were 30S employees paid from this allotment. The following 
were the rates paid to employees, of the various postal districts, who were receiving 
annual salaries of $2,400 or over on that date, or at the date of separation (shown in 
brackets) : — 



Halifax: 
Brcnnan, 
1 )exter, 
Dyer, J. 
Fry. G. 
Hartling, 
Hopkins, 
O'Brien, 

Charlottetown: 
Gallant, E. J. 

Saint John: 
Bedell, T. 
Carter, F. 
Coughlan, 
[ngraham, 
Leger, J. 
Newcomb, 

Quebec : 
Beauchamp 

Brum an, J 
Dussault, J 
Gagnon, J. 
Gosselin, J. 



Salary 
rates 

H. J $2,400 00 

1. V 3,480 00 

W 3,480 00 

W 2,400 00 

E. A 3,240 00 

R. F 4,800 00 

M. D 2,880 00 



2,880 00 



B 2,700 00 

\\ 3,480 00 

T. F 3,360 00 

E. R 4,800 00 

E 3,240 00 

F. J 2,700 00 



J. F. A 3,480 00 

G 2,880 00 

P. L 2,700 00 

L. A 2,880 00 

F. D 3,240 00 

Jobin, G. 1 2,580 00 

Xadeau, M. J. E 2,400 00 

Pouliot, J. A 5,100 00 

Montreal: 

Cardinal, J. A 2,700 00 

Chartrand, F. E 3,240 00 

Coulombe, L 3,240 00 

Dcsrosiers. F 3,240 00 

59727—195 



Salary 
rates 

Downing, J. D 3,480 00 

Germain, L 6,000 09 

Larose, P 3,240 00 

Marcoux, C. A 3,360 00 

Menard, A. F 3,240 00 

Moineau, T. L 2,760 00 

Murray, R. P 2,400 CO 

Ottawa : 

Bennett, T. E 3,060 00 

Duguay, J. E 3,480 00 

Gravel, E. J 3,060 00 

Macklem, G. E 3,480 00 

MacNabb, C. B 2,580 00 

Maloney, M. F 2,400 00 

McGrail, C. C 5,100 0l> 

Toronto : 

Barringer, W. T 3,120 00 

lilackstone, N. W 2,400 00 

Dickey, W. J 2,400 00 

Falvey, W. P 3,600 00 

Gibson, A. M 6,000 CO 

Giroux, A. L 3,060 00 

Hill, H 2,880 00 

Hornibrook, 11. C 3.240 00 

Little, J. C. (Nov. 3) 3,240 00 

Reive, R. H 2,520 00 

Stony. W. T 3,240 00 

Wells, C. P 2,400 00 

Willmot, H. C. M 2,700 00 



284 



AUDITOR GENERAL'S REPORT 



Salary 
rates 

North Bay: 

Berrv, H. N 2,400 00 

Doran, W. W 3,240 00 

Gagne, W. J 3,240 00 

Johnston, T. T 2,400 00 

Klein. J. H 2,700 00 

Ross, J. C. (Feb. 28) 4,620 00 

London : 

May, W. J 5,100 00 

Mecredy, J. H 2,400 00 

Merrifield, B. S 3,240 00 

Pearson, W. E 3,480 00 

Poole, A. W 2,700 00 

Smith, W. H 2,400 00 

Stewart, J. W 3,480 00 

Winnipeg : 

Dickson, J. W. T 5,100 00 

Hives, C. A 3,240 00 

Irle, T. A. W 3,120 00 

Jenkins, H. C. M 2.700 00 

Sargeant, R. A 2,400 00 

Vermander, J 3,240 00 

Whatmough, E 3,480 00 

Moose Jaw: 

Anderson, J. F 3,240 00 

Armstrong, H. T 2,400 00 

Hauser, F. J 2,400 00 

Kerr, J. F 2,700 00 

Long, R. H 3.360 00 



Salary 
rates 

Motherwell, W. J 4,800 00 

Russell, T. C 3,360 00 

Saskatoon : 

Carmichael, J 3,240 00 

dimming, L. S 3,240 00 

Francis, R. B 2,700 00 

Hayes, F 2,400 00 

Hunter, J. H 4,620 00 

Rippengale, W 3,240 00 

Edmonton: 

Carter, S. J 2,400 00 

Gregory, H. W 3.240 00 

Mitchell, E. H 2,400 00 

Reilly, T. J 3,240 00 

Calgary : 

Baker, C. W 2,580 00 

Corley, J. B 5,100 00 

Dingle, A. W 3,480 00 

Farren, E 3,480 00 

Ironside, E. G. (June 1) 2,880 00 

Nicol, A. H 2,520 00 

Salisbury, W. R 2,400 00 

Vancouver: 

Clarke, G. H 5,400 00 

Kirk, C 3,060 00 

McLean, W. E 2,700 00 

Middlemiss, F. H 3,480 00 

Turner, J 3,480 00 



Payments for overtime amounting to $712.05 were made under authority of Order in 
''Council of October 29, 1941, (P.C. 91/8400), to the employees of the operating service (out- 
.side service) who were engaged in manipulative duties, and were called upon to work overtime 
during the Christmas season 1941. These employees were paid in cash at the rate of 60 cents 
per hour, up to a maximum of 30 hours for any one employee. 

C Payments amounting to $300 or over were made as follows: Calgary Postal District, 
C. W. Baker, $331.90, E. Farren, $656.65. A. H. Nicol, $475.40; Edmonton Postal District, 
H. W. Gregory, $903.42, E. H. Mitchell, $1,149.39, H. C. Neal, $443.40; Halifax Postal 
District, J. W. Dyer, $763.08, E. A. Hartling, $1,225.75, M. D. O'Brien, $1,084.60; London 
Postal District, W. E. Pearson. $1,365.45, J. W. Stewart, $1,330.08; Montreal Postal 
District, F. Chartrand, $1,509.09, E. Corbeil, $992.84, L. Coulombe, $1,285.39, P. Larose, 
$731.19, A. F. Menard, $844.02; Moose Jaw Postal District, J. F. Anderson, $613.93, 
J. F. Kerr, $440, R. H. Long, $468.81; North Bay Postal District, W. W. Doran, $1,135.71, 
W. J. Gagne, $698.69, J. H. Klein, $511.05; Ottawa Postal District, T. E. Bennett, $858.73, 
E. J. Gravel, $528.06, C. B. MacNabb, $435.68; Quebec Postal District, J. F. A. Beauchamp, 
$2,015.04, J. A. Boissinot, $404.14, J. G. Bruneau, $1,698.61, J. J. P. L. Dussault, $1,322.97, 
J. L. A. L. Gagnon, $1,385.35; Saint John Postal District, T. B. Bedell, $871.85, L. W. 
Carter, $376.17, T. F. Coughlan, $745.11, F. J. Newcomb, $1,077.62; Saskatoon Postal 
District, J. Carmichael, $860.90, L. S. Cumm'Cng, $898.56, R. B. Francis, $790.61, 
• W. Rippengale, $795.15; Toronto Postal District, A. M. Gibson, $592.55, A. L. Giroux, 
81,089.61, R. C. Hornibrook, $1,156.95, J. C. Little, $596.85, W. T. Storey, $1,129.41; 
Vancouver Postal District, C. Kirk, $725.96, W. E. McLean, $1,085.60, F. H. Middlemiss, 
$714.60, J. Turner, $979.73; Winnipeg Postal District, C. A. Hives, $400.06, T. A. W. Irle, 
$516.-92, J. Vermander, $1,111.51, E. Whatmough, $679.10. 
D Supplied by the King's Printer. Office appliances, including adding machines, type- 
writers, etc., to the value of $1,954.54, were paid for from this allotment. 

F Telephone rentals at Ottawa were paid from Public Works Vote "261, Telephone Service 
at Ottawa", but the relative long distance tolls incurred at Ottawa were paid from this 
allotment. 



POST OFFICE I) EPA R TMI V / 



285 



One account of $1,000 or over was incurred during the year; this was for $1 628.70, paid 
in the Canadian National Telegraphs for Bervice al sundry point-. 

Audit Note 

F Owing to the difficulties involved^ in the apportionment of charges for telegran 
telephones, all city and distrid office telegraph charges were paid from Vote 243, and all 

city and districl office telephone rentals (with the exception of those at Ottawa) and 

tolls were paid from Vote 242; therefore, in bo far aa the telegram and telephone allotment 
of thia vote is concerned, the expenditures incurred are arbitrarily reflected. 

Vote 2H Railway Mail Service 11,113,410 00 

Vote 438 Further amount required 914,090 00 

Vote 420 Supplementary provision for payment of cost of living 

bonuses 52,255 45 

2.2,079,755 45 

Expenditures 11,965,235 85 

Lapsed $ 114,519 60 



Estimates 
details 

A Salaries — Headquarters Administration.. 54.900 00 

B Salaries— Railway Mail Service Staffs.. 2,179,835 45 

C Mileage Allowance 695,630 00 

D Mail Service by Railway 7,397,410 00 

E Mail Service by Steamboat 1,682.380 00 

F Travelling Expenses 10,000 00 

G Printing and Stationery 54.450 00 

H Equipment and Maintenance 3,000 00 

I Telegrams and Telephones 850 00 

J Sundries 1,300 00 



Allotments 
authorized 

54.900 00 

2,335,465 45 

531,000 00 

7,397.410 00 

1,682,380 00 

19,000 00 

54,450 00 

3.000 00 

850 00 

1,300 00 



Expenditures 

54,351 06 

2,335,465 45 

529,355 63 

7.:; 10,358 79 

1.636,261 75 

16,554 12 

44,405 90 

1,146 19 

738 30 

598 66 



$12,079,755 45 $12,079,755 45 SI 1,965.235 S5 



Comments 

These votes were provided to pay (i) the costs of mail service by railway and steamboat 
and (ii) the salaries (including cost of living bonuses) and other expenses of the railway 
mail clerks and of the staff of the administrative units at Ottawa which controls this service. 

A As of March 31, 1942, there were 27 employees paid from this allotment. The following 
were the rates paid to persons receiving annual salaries of $2,400 or over on that da1 
at date of separation (shown in brackets): C. C. Boreham, $2,400; T. X. Caldwell, 
$2,400 (Aug. 19); C. E. Catheart, 83,000; J. J. A. Doucet, $2,400; F. Gilbert, $3,420; 

R II. Ma.Xal.l.. .85.220; J. McLean, $2,400; F. H. Sparks S3, 000. 

B As of March 31, li'12, there were 1151 employees paid from this allotment. The follow- 
ing were the rates paid to persons receiving annual salaries of $2,400 or over on thai date: 
Montreal, M. Johnson, $2,400; Quebec, U. A. Gosselin, $2,400, J A. D. Laberge, $2,400, 
A. J. Laflamme, S2.5S0. J. P. 0. Paquet, 82.400. 

Extra Christmas helpers at Halifax and Quebec, employed a1 15 cents per hour, 
paid S170.55 and S35S.5S respectively. 



286 AUDITOR GENERAL'S REPORT 

C Mileage allowances consist of payments at the rate of one cent per mile paid to Railway 
Mail clerks to cover the cost of their travelling and living expenses whilst on duty. 

D Payments of $1,000 or over were made to the following (the figures shown in brackets 
are the portions of the total payments withheld and paid to the Receiver General of 
Canada, in respect of traffic carried over lines subsidized by the Dominion Government, 
regarding which free transportation must be supplied by the companies concerned, up to 
an amount based on a percentage of the principal sum of subsidies granted) : Algoma 
Central and Hudson Bay Railway Co., $3,384.64 ($3,384.64); B.C. Electric Railway Co. 
Ltd., $5,923.80; British Yukon Railway Co., $7,912.96; Canada and Gulf Terminal Railway, 
$1,374.47 ($1,374.47); Canadian National Railway Co., $3,292,559.68 ($35,806.18); Canadian 
Pacific Railway Co., $3,723,260.74 ($79,344.07); Central Vermont Railway, Inc., $2,061.06; 
Great Northern Railway Co., $20,515.08; Halifax Transfer Co. Ltd., $1,452.50; Hull 
Electric Co., $2,100; London & Port Stanley Railway, $1,920.14; Michigan Central Railroad 
Co., $24,192.60; Montreal & Southern Counties Railway Co., $2,868.56; Napierville Junc- 
tion Railway Co., $6,424.88 ($4,174.93); New York Central Railroad Co, $15,333.54; 
Niagara, St. Catharines & Toronto Railway Co., $1,613.92; Nipissing Central Railway Co, 
$1,772.94; Northern Alberta Railways Co, $41,174.15 ($2,683.95); Northern Pacific Railway 
Co, $2,351.33; Pacific Great Eastern Railway Co, $15,143.30; Pere Marquette Railway 
Co, $10,710.60; Quebec Central Railway Co, $62,719.29 ($6,280.73); Quebec Railway, 
Light and Power Co, $2,380.13; Temiscouata Railway Co, $11,598.75; Temiskaming & 
Northern Ontario Railway, $71,105.12; Toronto, Hamilton & Buffalo Railway Co, $6,596.50. 

E Payments of $1,000 or over were made to the following: Alcoa Steamship Co. Inc., 
Montreal, $2,743.12; Beaton Boat Co. Ltd, Beaton, B.C., $1,157.50; British Columbia 
Pulp and Paper Co. Ltd, Vancouver, $2,480; H. Calder, Lord's Cove, N.B, $3,884.91; 
Canada Shipping Co. Ltd, Vancouver, $2,017.05; Canadian Australasian Line Ltd, Mont- 
real, $60,183.12; Canadian Blue Star Line Ltd, Vancouver, $2,535.14; Canadian Govern- 
ment Merchant Marine Ltd, Montreal, $48,950.25; Canadian National Steamships, $11,550; 
Canadian Pacific Railway Co, $106,181.07; Canadian Pacific Steamships Ltd, $420,060.75; 
Cie. de Navigation Charlevoix Saguenay Ltee, Quebec, $1,524.19; Cunard White Star 
Ltd, Montreal, $460,761.75; T. A. S. DeWolf & Son, Halifax, $36,588.75; Elder Dempster 
Lines Ltd, Montreal, $7,737.75; Empire Shipping Company Ltd, Vancouver, $46,106.63; 
Furness, Withy & Co. Ltd, Halifax, $212,368.83; Georgian Bay Tourist Co. Ltd, Midland, 
Ont, $1,252.66; Harbour Navigation Co. Ltd, Vancouver, $1,875; Huntsville, Lake of 
Bays, and Lake Simcoe Navigation Co. Ltd, Huntsville, Ont, $5,000; L. R. Jones, 
Harrington Harbour, Que.. $1,381.50; A. Lajoie and J. Harvey, La Baleine, Que, $1,962.30; 
R. Leclerc, Lotbiniere, Que, $1,319.55; Muskoka Lakes Navigation & Hotel Co. Ltd, 
Gravenhurst, Ont, $8,000; National Harbours Board, $3S,079.95; Pickford & Black Ltd, 
Halifax, $1,307.04; R. Porritt, Port Alberni, B.C., $3,286; S. J. Robertson, Harrington 
Harbour, Que, $1,332; A. Sirois, Trois-Pistoles, Que, $2,050.01; Traverse de Levis Ltee, 
Quebec, $5,000; Union Steamship Co. of New Zealand, Ltd, Vancouver, $10,176.41; Union 
Steamships Ltd, Vancouver, $59,153.77; F. K. Warren, Halifax, $46,214.25. Mail Subsidies 
and Steamship Subventions were also paid to some of these companies by the Depart- 
ment of Trade and Commerce. 

F Payments amounting to $300 or over were made as follows: London, Ont, J. H. Carroll, 
$317.95, D. N. McKenzie, $311.25, W. J. H. Mundy, $409.42, C. Short, $464.77; Montreal, 
L. Germain, $398 (not including $69.45 charged to Vote 243), M. Johnson, $817.75; Moose 
Jaw, D. H. Evans, $340.50; Quebec, J. A. D. Laberge, $1,235.57, A. J. Lanamme, $1,061.39, 
J. E. M. Martineau, $329.25, J. P. O. Paquet, $1,217.11, J. C. Therien, $365.90; Saint John, 
V. E. Bowlby, $319. 

G Supplied by the King's Printer. Typewriters to the value of $331.15 "were paid for from 
this allotment. 

I Telephone rentals at Ottawa were. paid from Public Works Vote "261, Telephone Service 
at Ottawa", but the relative long distance tolls incurred at Ottawa were paid from this 
allotment. 



POST OFFICE DEPARTMENT 

Audit Note 



287 



I Owing to the difficulties involved is the apportionment of charges for telegrams and 

telephones, all city and district office telegraph charges were paid from Vote 243, and all 
city and district office telephone rentals (with the exception of those at Ottawa) and tolls 
were paid from Vote 242; therefore, in so far as the telegram and telephone allotment of 
this vote is concerned, the expenditures incurred are arbitrarily reflected. 



Vote 245 Air and Land Mail Services $11,514,882 00 

Expenditures 10,582,347 74 

Lapsed $ 932,534 26 



Salaries — Headquarters Administration . 

Mail Service by Air 

Mail Service by Ordinary Land Convey- 
ance, including Rural Mail Delivery.. 

Travelling Expenses 

Printing and Stationery 

Equipment and Maintenance 

Telegrams and Telephones 

Sundries 

Publicity 

Rural Mail Delivery Boxes 



Estimates 


Allotments 




details 


authorized 


Expenditures 


65,850 00 


68,850 00 


67,671 55 


.829,107 00 


4,580,607 00 


3,699,521 32 


,504,815 00 


6,749.815 00 


6,726,896 34 


1.000 00 


1.500 00 


877 97 


31,760 00 


28,760 00 


19,086 57 


20,000 00 


23,000 00 


7,090 04 


300 00 


300 00 


184 11 


50 00 


50 00 


50 00 


30,000 00 


30.000 00 


29,354 24 


32,000 00 


32,000 00 


31,615 60 



$11,514,882 00 $11,514,882 00 $10,582,347 74 



Comments 

This vote was provided to pay the cost of (i) the carriage of mails by air, rural mail 
delivery, mail stage services, movement of mails between post offices and railway stations, 
and collection from street letter boxes, and (ii) the salaries (including cost of living 
bonuses) and other expenses of the administrative unit at Ottawa which controls these 
services. 

A As of March 31, 1942, there were 39 employees paid from this allotment. The following 
were the rates paid to persons receiving annual salaries of 82,400 or over on that date: 
F. J. Colpman, 83,000; G. Herring, 85,700; A. H. B. Potts, 83,840; J. St. Germain, $3,840. 
B Accounts of SI ,000 or over were: Arrow Airways Ltd.. $2,900.29; British Yukon Naviga- 
tion Co. Ltd., SS/715.90; Canadian Airways Ltd., $99,460.97; Canadian Colonial Airways 
Ltd., $113,121; Leavens Bros. Air Services Ltd., 83,750.45; Mackenzie Air Service Ltd., 
861,717.41; Maritime Central Airways Ltd., 829,666.56; Northern Airways Ltd., S2,323.20; 
Northwest Airlines Inc., S49,833; Prairie Airways Ltd., $127,412.60; Starratt Airways & 
Transportation Ltd, S10,209.84; Trans-Canada Air Lines, 82,992,961.51; Wings Ltd., 
$17,547.17; Yukon Southern Air Transport Ltd., $179,431.38. 

The mail contract entered into with Trans-Canada Air Lines, under the Trans-Canada 
Air Lines Act, 1937, provided for payment by the Department at the rate of 60 cents per 
mile flown with mails, during the initial period of operation ending December 31, 1939, 
and later extended to March 31, 1942, but a rate of 45 cents per scheduled mile flown 
was agreed upon for the fiscal 3'ear 1941-42. Payments were made at this rate on the 
basis of point-to-point mileages until December 31, 1941, after which date payments 
were computed on the basis of radio beam mileages. 
C The following is a summary of the Districts and services to which the payments from this 
allotment apply. The item Headquarters $32,088.07 is for side services between certain 
airports and post offices on the Trans-Canada air mail routes. 



288 



AUDITOR GENERAL'S REPORT 







Rural mail 












delivery 


Side 


Stage 


City 


District 


Total 
. 466,614 59 


routes 


services 


services 


services 


Halifax 


146,192 51 


51,781 65 


222,539 65 


46,100 78 


Charlottetown 


. 102,408 11 


87,303 21 


8,458 50 


1,059 40 


5,587 00 


Saint John .. 


. 361,531 85 


192,626 81 


40,278 10 


101,005 17 


27,621 77 


Quebec 


. 600.198 17 


262,006 61 


75.139 91 


185,870 41 


77,181 24 


Montreal 


. 919,036 47 


418,626 60 


72,734 33 


91,652 34 


336,023 20 


Ottawa 


. 654,987 78 


454,024 44 


44,880 92 


91,348 94 


64,733 48 


Toronto .... 


. 884,498 84 


415,832 38 


61,610 88 


51,329 55 


355,726 03 


North Bay . 


. . 223,597 39 


62.147 89 


63,151 63 


67,989 70 


30,308 17 


London 


. 808,306 46 


605,118 85 


57,237 64 


32,867 29 


113,082 68 


Winnipeg . . . 


. 314,034 94 


83,243 56 


91,838 19 


61,100 65 


77.852 54 


Moose Jaw 


. 180,314 47 


22,440 72 


76.204 94 


57,849 91 


23,818 90 


Saskatoon 


. 218,696 93 


48,968 06 


92,845 95 


53,806 63 


23,076 29 


Edmonton . . 


. 245,272 83 


88,246 13 


59,942 60 


67,231 30 


29,852 80 


Calgary 


. 210,182 77 


51 ,350 34 


59,740 98 


60,395 87 


38,695 58 


Vancouver . . 


. 432,782 53 


91,101 89 


54,236 13 


111,351 99 


176,092 52 




$6,622,464 13 
72,344 14 


$3,029,230 00 


$910,082 35 


$1,257,398 80 


$1,425,752 98 


Yukon Service- 








- 


Headquarters. 


32,088 07 












$6,726,896 34 





D One individual received $300 or over from this allotment during the year: G. Herring, 
$473.95. 

E Supplied by the King's Printer. 

F Of this expenditure, $6,936.02 was for the upkeep of street letter boxes and parcel 
receptacles. 

G Telephone rentals at Ottawa were paid from Public Works Vote "261, Telephone Ser- 
vice at Ottawa", but the relative long distance tolls incurred at Ottawa were paid from 
this allotment. 

I Accounts of $1,000 or over were: King's Printer, Ottawa, $15,269; National Film Board, 
Ottawa, $5,919.19; Walsh Advertising Co. Ltd., Windsor, Ont., $7,582.21 (all for air mail 
publicity) . 

J Accounts of $1,000 or over were: Canadian National Railway Co., $1,733.20; Eastern Steel 
Products Ltd., Montreal, $29,828.90. 



Audit Note 

B Although the Governor in Council had authorized the making of formal contracts, the 
services on six air routes were continued on a temporary basis throughout the year not- 
withstanding an opinion given by the Justice Department to the effect that the provisions 
of Section 78 of the Post Office Act, permitting the making of temporary contracts, could 
not be invoked to support a temporary contract for a period of one year as not more 
than six weeks' notice of calling for tenders is required under Section 66 of the Act. 
Service on another route, previously covered by formal contract which expired on July 11, 
1941, was also continued on a temporary basis. 

Following correspondence with the Department pointing out the foregoing circumstances. 
Order in Council, P.C. 2311 of March 24, 1942 (as amended by P.C. 5833 of July 7, 1942) 
was passed, authorizing the Postmaster General to make temporary arrangements foi 
conveyance of mails when in his opinion no more favourable arrangements could be made 
through the invitation of public tenders. 



POST OFFICE DEPART MINT 289 

Vote 246 Audit of Revenue, Money Order, Postal Note and Savings 
Hank Husiness; issue of Postage Stamps and Postal Ni)tes, 
including amounts required to pay allowances to Office 
Appliance Operators, Grade 2, in accordance with regula- 
tions approved by Order in Council 1,408,700 00 

Vote 420 Supplementary provision for payment of cost of living bonuses 11,371 30 



1,420.071 30 
Expenditures 1,344,354 49 



Lapsed $ 75,716 81 



Estimates Allotments 

details authorized Expenditure* 

A Salaries 874,321 30 874.321 30 874,321 30 

B Travelling Expenses 1.000 00 1.000 00 3.55 10 

C Printing and Stationery 90.750 00 90.750 00 68.423 57 

D Equipment and Maintenance 150.000 00 150,000 00 114,226 13 

E Telegrams and Telephones 1.000 00 1,000 00 15166 

F Sundries 1.000 00 1.000 00 39 10 

(; Money Order Forms 25.000 00 25.000 00 14.737 95 

II Manufacture of Postage Stamps 250.000 00 250,000 00 249.268 22 

I Printing of Postal Notes 27.000 00 27.000 00 22.S31 46 



81,420.071 30 $1,420,071 30 81,344,354 49 



Comments 

These votes were provided to pay (i) the salaries (including cost of living bonuses) 
and other expenses of the staff of the Financial Branch at Ottawa, which records and audits 
postmasters' reports of financial transactions arising from (a) the sale of postage, money 
orders and postal notes, and (b) the operations of the Post Office Savings Rank, and (ii) 
the cost of postage stamps, postal notes and money order forms. 

A As of March 31, 1942, there were 570 employees paid from this allotment. The following 
were the rates paid to persons receiving annual salaries of 82,400 or over on that date, or 
al date of separation (shown in brackets): H. E. Atwater, S5.700; A. F. Bill, S4.620; 
G. IT. Brenot, 83.600; S. A. D. Busev, 82,400; J. B. Campbell, S2.700; W. F. Coutfcs, 
$4,140; A. S. Deaville. 83.300; H. C. Dewar, $2,400; A. Ford, $2,400; H. J. Fortune, 82.400; 
K. E. Hall, $2,400; E. H. Hancock. 83.600; W. A. Heath. 82.400; E. M. ffiney, 83.000 
(on military leave from Nov. 24) : M. T. Hobart, S3. 120; K. H. Irving. 83.120; P. Landriau. 
12,400; M. M. MacDonald, 83.120; N. H. MacDonald, 81.020; 1). J. McCormick, 82.400 
(on military leave from June 1); T. D. McDonald. S2J00; L. McGrecvv. 82.700; 
T. P. McManus, S2.700; J. X. Morin, 83.120; A. W. S. CHagan, 82.100; \V. H. CHalloran, 
S3,4S0< J. J. O'Hara. 84,620; J. A. Owen. 82.700; J. E. Page, $2,400; P. E. R. Page, S2.400; 
\ S. Pothier. 83.600; H. Renwirk. $3,120; J. A. C. Roy, $2,700; J. H. Rvan, 82.760; 
(\ C. Sheldon, 83,060; W. G. Smith. $2,400 (May 19); G. G. Tennant, 83.120; W. L. Veniot, 
20; A. Vermette, S2,400. 

C Supplied by the King's Printer. 

D These expenditures include rental of accounting machines, $53, 1 57.50 ; cards for account- 
ing machines, S 17.250.65; paper rolls for postage meter machines, S12.629.86. 

Payments of S1.000 or over were made to the following: Internationa] Business Machines 
Co. Ltd.. 813.796.06; John Neville Paper Co., Ottawa, $12,629.86; Remington Rand Ltd., 
Toronto, $S6,S42.96. 

E Telephone rentals at Ottawa were paid from Public "\Y<>rk< Vote "201, Telephone Service 
at Ottawa*', hut the relative long distance tolls incurred at Ottawa were paid from this 
allotment. 

G Supplied by the King's Printer. 
50727—20 



2Q0 AUDITOR GENERAL'S REPORT 

H Payments of $1,000 or over were made to the following: Canadian Bank Note Co., Ltd., 
Ottawa, $223,428.89; Dominion Envelope Co. Ltd., Toronto, $5,615.20; King's Printer, 
Ottawa, $19,878.42. 

I British American Bank Note Co. Ltd., Ottawa, $21,130.19; Canadian Bank Note Co. 
Ltd., Ottawa, $1,701.27. 

PENSIONS AND OTHER BENEFITS 

Vote 247 Payment of compassionate allowances to employees injured 
while in the performance of their duties, or to other persons 
injured while performing duties in any way connected with 
the Postal Service, or in protecting His Majesty's mails, or 
to the dependents of such employees or other persons who 
may be killed while so engaged; payments to be made only 

on the specific authority of the Governor in Council $ 5,000 00 

Expenditure nil 

Lapsed $ 5,000 00 



SUPERANNUATION, RETIREMENT AND OTHER BENEFITS 

Gratuities to families of deceased employees, Civil Service Act, c. 22, R.S, $16,184 48 



PRIME MINISTER'S OFFICE 
APPROPRIATIONS AND EXPENDITURES 

A total of $68,499-92 was available for expenditure on account of the Prime Mini- 
Office of which $51,500 was provided in the annual appropriation acts and $16,999.92 was 
authorized by continuing statutory provisions. Expenditures were $56,680.14 for the fiscal 
year 1941-42, an increase of $6,973.85 over those of $49,706.29 in 1940-41. 

No. of 
Vote Services Appropriations Expenditures Lapsed 

Statutory Salary of the Prime Minister, 

Salaries Act, c. 182, R.S 14,999 92 14,999 92 

Statutory Motor Car Allowance to Prime 

Minister, Appropriation Act No. 

5, c. 61, 1931 2,000 00 2,000 00 

248 Salaries of Staff 51,500 00 39,680 22 11,819 78 



$ 68,499 92 S 56,680 14 S 11,819 78 



These accounts have been examined and 

audited under my direction in accordance 

Certified correct. with the provisions of the Consolidated 

Revenue and Audit Act, and subject to the 
B. G. McINTYRE, observations in this report, I certify that 

Comptroller of the Treasury. in my opinion they are correct. 

WATSON SELLAR, 
Auditor General. 

Salary of the Prime Minister — Salaries Act, c. 182, R.S $14,999 92 



Motor Car Allowance to Prime Minister — Appropriation Act iVo. 5, c. 61, 

1931 $ 2,000 00 



Vote 248 Salaries of Staff 51,500 00 

Expenditures 39,680 22 



Lapsed $11,819 78 



Estimates Allotments 

details authorized Expenditures 

Salaries $ 51,500 00 S 51,500 00 S 39,680 22 



Comments on Expenditure > 

As of March 31, 1942, there were 19 employees paid from this vote. The following were 
receiving annual salaries of S2.400 or over on that date, or at date of separation (shown in 
brackets): E. K. Brown. $5,000; M. Cameron, S2.400, secretarial allowance, S300 (Nov. 1) ; 
E. Handy, S2,520, secretarial allowance. S600; W. H. Measures, $3,500; J. W. Pickersgill, 
secretarial allowance. $600 (salary paid by Department of External Affairs); W. J. Turnbull. 
$7,000; A. Walker, $2,400, secretarial allowance, $300. 

A secretarial allowance of $600 per annum was paid to W. J. Turnbull from Apr. 1 to 
Aug. 5. prior to his appointment as Principal Secretary. During this period Mr. Turnbull's 
salary was paid by the Post Office Department (Vote 241). 

291 

59727-20 i 



PRIVY COUNCIL OFFICE 
APPROPRIATIONS AND EXPENDITURES 

A total of $61,000, provided in the annual appropriation acts, was available for expenditure 
on account of the Privy Council Office. Expenditures were $54,104.79 for the fiscal year 
1941-42, an increase of $41.42 over those of $54,063.37 in 1940-41. 

In addition a total of $6,138 was allotted to the Privy Council Office from the War 
Appropriation. Expenditures thereunder, amounting to $4,343.10, are shown in the War 
Appropriation section of this report. 

No. of 
Vote Services Appropriations Expenditures Lapsed 

249 Salaries and Expenses of Office.... 61,000 00 54,104 79 6,895 21 



Total Ordinary Expenditures $ 61,000 00 $ 54,104 79 $ 6,895 21 



These accounts have been examined and 

audited under my direction in accordance 

Certified correct . with the provisions of the Consolidated 

Revenue and Audit Act, and subject to the 
B. G. McINTYRE, observations in this report, I certify that 

Comptroller of the Treasury. in my opinion they are correct. 

WATSON SELLAR, 

Auditor General. 



Vote 249 Salaries and Expenses of Office 61,000 00 

Expenditures 54,104 79 



Lapsed $ 6,895 21 



Estimates Allotments 

details authorized Expenditures 

A Salaries HoTmhToO 56,000 00 51.085 76 

B Printing and Stationery 3,000 00 3,000 00 2,394 85 

C Sundries 2,000 00 2,000 00 624 18 



$ 61,000 00 $ 61,000 00 $ 54,104 79 



Comments on Expenditures 

A As of March 31, 1942, there were 22 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date: A. D. P. Heeney, Clerk of the 
"Privy Council, $9,000; H. R. L. Henry, $5,000; A. M. Hill, $3,000; H. W. Lothrop, 
$5,220; M. G. Roe, $2,400; W. J. Wall, $3,000. 



292 



PUBLIC ARCHIVES 
REVENUES 

Summary 



Ordinary Revenue — 
Casual Revenue 



Casual Revenue — 
Sale of war trophies, metal, etc. 



1941-42 



Details 



1940-41 



.$ 2,049 14 S 1,516 37 



.8 2,049 14 



Certified correct. 



G. LANCTOT, 

Dominion Archivist. 



In accordance with the provisions of Sec- 
tion 45 (1) of the Consolidated Revenue 
and Audit Act I have satisfied myself that 
the above revenues for 1941-42 have been 
fully accounted for. 



WATSON SELLAR, 

Auditor General. 



Comments on Revenues 



A On the authority of P.C. 2516 of April 10, 1941, the chairman of the Military Museum 
Board and the Salvage Officer have charge of the disposal of sundry war trophies for the 
benefit of the war effort. These trophies were distributed to various municipalities, public 
and military museums throughout Canada, after the last war. The policy governing the 
distribution of such trophies provided that they should remain the property of the 
Dominion of Canada, and could not at any time be sold or otherwise disposed of by such 
municipalities or other bodies. 

APPROPRIATIONS AND EXPENDITURES 

An amount of S142,970, provided in the annual appropriation Acts, was available for 
expenditure on account of the Public Archives, which is under the jurisdiction of the 
Secretary of State. Expenditures were $123,152.33 for the fiscal year 1941-42, a decrease of 
$2,699.54 as compared with those of $125,851.87 for 1940-41. 

In addition, a total of $2,600 was allotted to the Public Archives from the War 
Appropriation. This expenditure is shown in the War Expenditures section of this report. 
No. of 



Vote 
250 



Services 



Appropriations Expenditures 



Lapsed 



General Administration and Tech- 
nical Services $ 142,970 00 



$ 123,152 33 $ 19,817 67 



Certified correct. 



B. G. McINTYRE, 

Comptroller of the Treasury. 



The above accounts have been examined 
and audited under my direction, in accor- 
dance with the provisions of the Consoli- 
dated Kevenue and Audit Act, and subject 
to the observations in this report, I certify 
thai in my opinion they are correct. 

WATSON SELLAR, 

Auditor General. 



293 



294 AUDITOR GENERAL'S REPORT 

Vote 250 General Administration and Technical Services 142,970 00 

Expenditures 123,152 33 

Lapsed $ 19,817 67 



Estimates Allotments 

details authorized Expenditures 

A Salaries 132,470 00 132,470 00 113,043 50 

B Printing and Stationery 6,000 00 6,000 00 6,000 00 

C Travelling Expenses 1,000 00 1,000 00 884 08 

D Purchase and copying of Books, Papers, 

Manuscripts, Maps, etc 1,500 00 2,450 00 2,405 70 

E Sundries 2,000 00 1,050 00 819 05 



$ 142,970 00 $ 142,970 00 $ 123,152 33 



Comments on Expenditures 

A As of March 31, 1942, there were 53 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date: G. Lanctot, Dominion Archivist, 
$8,000; G. W. Bailey, $2,520; A. Beaulieu, $2,520; V. Bigras, $2,520; L. Brault, $3,000 
N. Fee, $4,380; D. Godfrey, $2,880; G. T. Hamilton, $3,180; J. F. Kenney, $4,440 
M. Kinnear, $2,520; R. Laroque, $2,640; A. F. Macdonald, $3,180; S. Marion, $3,960 
J. F. McKay, $2,520; W. A. Proctor, $2,400; N. Story, $2,520; F. W. Thompson, $2,400 
H. Wooding, $2,400. 

C G. Lanctot received $742.12 for travelling expenses. . 

D No purchase over $300 was made. 

E Includes office expenses, London, England, $394.77. 



DEPARTMENT OF PUBLIC PRINTING 
AND STATIONERY 

REVENUES 

Summary 

1941-42 1940-41 

Ordinary Revenue — 

Canada Gazette 45,036 70 45,962 66 

Casual Revenue 356,314 46 217,366 30 



$ 401,351 16 $ 263,328 96 



In 1941-42 the excess of revenue over expenditure resulting from the operations of 
the King's Printer's Advance Account showed an increase of approximately 8146,800 as 
compared with the previous year. In addition, there were increases of S15,40O in the waste 
paper contract and $1, 000 in the sale of discarded equipment. These increases were offset 
by decrease* of approximately $900 and $24,300 in Canada Gazette and revenue from the 
sale of publications, resulting in a net increase of approximately $138,000 in the revenues 
for the year as compared with those for 1940-41. 

A Canada Gazette — subscriptions, copies and advertising 45,036 70 

B Sale of publications: Parliament and Departments, $18,079.65; Public, 

$57,006.39 75,086 04 

C Waste paper, contract 22.000 00 

D Sale of discarded equipment, etc 1.971 30 

E King's Printer's Advance Account, excess of revenue over expenditure : Print- 
ing Branch, $48,902.23 ; Stationery Branch, $208,354.89 257,257 12 

$ 401,351 16 

In accordance with the provisions of 
Certified correct. Section 45 (1) of the Consolidated Revenue 

and Audit Act, I have satisfied myself 
EDMOXD CLOUTIER, that the above revenues for 1941-42 have 

King's Printer. been fully accounted for. 

WATSON SELLAR, 
Auditor General. 

Comments on Revenues 

A The Canada Gazette is the official gazette of Canada, the printing of which is executed 
by the King's Printer under Section 28 of the Public Printing and Stationery Act; the 
rates for advertising, and for subscriptions and single copies, are established by the 
Governor in Council. 

C The sale of waste paper was made to Betcherman Iron and Metal Co., Ltd., Ottawa, 
under an annual contract with the approval of the Governor in Council. 

E It is the practice of the King's Printer to add a percentage to the cost of the stationery 
purchased to offset the cost of operation, and this charge is absorbed by the various depart- 
ments in their purchases; in the Printing Branch the charge for work done is made on a 
unit price basis for the various classes of work executed. The cost of light, heat, power, 
telephone service, etc., paid by the Department of Public Works, is not taken into account. 

295 



296 AUDITOR GENERAL'S REPORT 

APPROPRIATIONS AND EXPENDITURES 

A total of $198,965.77 was available for expenditure on account of the Department of 
Public Printing and Stationery of which $196,480' was provided in the annual appropriation 
Acts, $2,200.01 was authorized by continuing statutory provision and $285.76 was transferred 
from the annual appropriations for the Department of Finance. Expenditures were 
$194,633.45 for the fiscal year 1941-42, a decrease of $88,525.82 as compared with $283,159.27 
in 1940-41. 

No. of 
Vote Services Appropriations Expenditures Lapsed 

2^1 Departmental Administration 39,395 76 39,395 70 06 

252 Printing, binding and distributing 

the Annual Statutes 8,500 00 4,852 69 3,647 31 

*253( Canada Gazette 41,080 00 41,078 37 1 63 

254 Plant— repairs and renewals 10,000 00 9,998 60 1 40 

255 Distribution of Official Documents. . 44,790 00 44,108 31 681 69 
*440) Printing and binding Official Publi- 

256] cations for sale and distribution 

to Departments and the Public. 53,000 00 52,999 77 2a 

SUPERANNUATION AND RETIREMENT 
BENEFITS 

Statutory Gratuities to families of deceased 
employees, Civil Service Act, c. 22, 
R.S., 1927 2,200 01 2,200 01 

$ 198,965 77 $ 194,633 45 $ 4,332 32 



Certified correct. 



B. G. McINTYRE, 

Comptroller of the Treasury. 



These accounts have been examined and 
audited under my direction, in accordance 
with the provisions of the Consolidated 
Revenue and Audit Act, and, subject to my 
observations in this report, I certify that 
in my opinion they are correct. 

WATSON SELLAR, 

Auditor General. 



Vote 251 Departmental Administration 39,110 00 

Vote *420 Cost of living bonus 285 76 

39,395 76 

Expenditures 39,395 70 

Lapsed $ 06 

i - 

Estimates Allotments 

details authorized Expenditures 

A Salaries 30,110 00 30,395 76 30,395 76 

B Travelling Expenses 1,00000 66475 66475 

C Printing and Stationery 7,250 00 6,137 51 6,137 45 

D Sundries 750 00 2,197 74 2,197 74 

$ 39,110 00 $ 39,395 76 $ 39,395 70 



Supplementary vote. 



DEPARTMENT OF PUBLIC PRINTING AND STATIONERY 297 

Comments on Expenditures 

A As of March 31, 1942, there were 10 employees paid from this vote. The following 
were receiving annual salari* - of S2,400 or over on that date: E. Cloutier, King's Printer 
and Controller of Stationi ry. sx.OOO; F. G. Bronskill, $4,620; Y. Fortin, $2,520; G. Randall, 
$3,000; G. Vizard, $3,000. 

Vote 252 Printing, Binding ami Distributing the Annual Statutes 8,500 00 

Expenditures 4,852 69 



Lapsed $ 3,647 31 



Comments on Expenditures 
The expenditures were incurred for printing, binding and distributing copies of the 

St a nit os of Canada, 4-5 Geo. VI, 1940-41, English, 2,150, French, 465; Second Session 19th 
Parliament, English, 2.250, French, 185. 



Vote 253 


Canada Gazette 
Further amount 

Expend 
Lapsed 








23,080 00 


Vote *439 


required 






18,000 00 










41,080 00 
41,018 37 






Estimates 
details 

4.500 00 


$ 






1 63 


A Salaries 


Allotments 
authorized 

3,792 25 
37,287 75 


Expenditures 
3,792 25 


B Printing 


and Binding 




36,580 00 


37,286 12 




$ 41,080 00 


S 41,080 00 


$ 41.078 37 



Comments on Expenditures 
A As of March 31, 1942, there were 2 employees paid from this vote, J. L. A. Boyer 

receiving an annual salary of $2,640. 
B The work of printing and binding the Canada Gazette was executed by the Printing 

Branch of the department. 

Vote 254 Plant— Repairs and renewals 10,000 00 

Expenditures 9,998 60 



Lapsed $ 1 40 



Estimates Allotments 

details authorized Expenditures 

A Maintenance and Repairs 2,400 00 

B Equipment and Supplies 6,700 00 7327 05 7,826 75 

C Freight, Duty, etc 900 00 2,172 05 2.17185 



$ 10,000 00 $ 10,000 00 $ 9,998 60 



Purpose for which Vote was Provided 

The maintenance of the printing plant and equipment in the Printing Bureau. 

Vote 255 Distribution of Official Documents 44,790 00 

Expenditures 44,108 31 



Lapsed $ 681 69 

* Supplementary vote. 



33,420 00 
r 

1,500 00 
3,600 00 
5,070 00 
1,200 00 


31,560 00 

1,950 00 
4,500 00 
5,580 00 
1,200 00 


31,543 07 

1,920 19 

4,319 93 

5,531 23 

793 89 


$ 44,790 00 


$ 44,790 00 


$ 44,108 31 



298 AUDITOR GENERAL'S REPORT 

Estimates Allotments 

details authorized Expenditures 

A Salaries 

B Delivery, mechanical supplies and char 

service 

C Printing and Stationery 

D Mechanical and shipping services 

E Sundries 



Purpose for which Vote was Provided 

The distribution of the official publications of Parliament and the government depart- 
ments as provided for by the Public Printing and Stationery Act. 

Comments on Expenditures 

A As of March 31, 1942, there were 23 employees paid from this vote. The following 
were receiving annual salaries of $2,400 or over on that date, or at date of separation 
(shown in brackets) : E. J. Larochelle, $2,400; A. L. Normandin, $3,000 (on military leave 
from June 1). 

Audit Note 

Under the provisions of Section 19 of the Public Printing and Stationery Act, the 
Department is charged with the distribution of all public documents and papers. This 
provision has not been fully observed, as publications are still being distributed by other 
departments. Centralization of distribution of government publications should, in my 
opinion, result in increased efficiency and a saving of public funds. 

Vote 256 Printing and Binding Official Publications for sale and 

distribution to Departments and the Public 40,000 00 

Vote *440 Further amounts required i . . . 13,000 00 



53,000 00 
Expenditures 52,999 77 



Lapsed $ 23 



Estimates Allotments 

details authorized Expenditures 

A Printing, etc., for free distribution 7,637 00 6,494 00 6,493 79 

B Printing, etc., for sale 45,363 00 46,506 00 46,505 98 



$ 53,000 00 $ 53,000 00 $ 52,999 77 



Comments on Expenditures 

A B The printing and binding of the various publications was done by the Printing Branch 
of the department under the authority of the Public Printing and Stationery Act. The 
publications are stocked in the Printing Bureau for distribution and sale. 

SUPERANNUATION AND RETIREMENT BENEFITS 

Gratuities to families of deceased employees, Civil Service Act, c. 22, R,S. . $ 2,200 01 



King's Printer's Advance Account 

The Advance Account is operated under the authority of Section 38 of the Public Printing 
and Stationery Act. Advances are made to the King's Printer to enable him to purchase 
material for the execution of orders given or requisitions made under the Act and to pay 
the wages of workmen engaged in the execution of such orders or requisitions. 

* Supplementary vote. 



DEPARTMENT OF PUBLIC PRINTING AND STATIONERY 299 

At the close of the year accounts totalling $248,986.03 were due the King's Printer as 
follows: Finance, $15,28227; Labour, $965.66; Munitions and Supply, $168,695.95; National 
Research Council, SS0.90; National Revenue, $56,589.57; National War Services, $32.83; 
Secretary of State, $16.51; National War Finance Committee, $7,173.04; United Kingdom 
Liaison Mission, $149.30. Of this amount $60,369.09 was due the Printing Branch and 
$188,616.94 due the Stationeiy Branch. 

Details of King's Printer's Advance Account: — 

PRINTING BRANCH 

Work executed for departments, $5,155,591.11; 

sundry sales, $272.19 5,155,863 30 

Deduct: Cost of goods sold: 

Inventory April 1, 1941 447,861 50 

Salaries, $204,462.45; wages of prevailing rates 
staff, $993,054.01 1,197,516 46 

Paper, printing material, etc 2,027,659 40 

Printing, binding, lithographing, etc., done 
outside the department 2,323,018 38 

Office printing, stationery and other expendi- 
tures 53,237 02 

6,049,292 76 
Less: Inventory March 31. 1942 942,331 69 

5,106,961 07 

Excels of Rev< nues over Expenditures 48,902 23 

STATIONERY BRANCH 

Stationery sold to departments, $5,530,259.80; 

sundry sales, $3,620.16 5,533,879 96 

Deduct: Cost of goods sold: 

Inventory April 1, 1941 145,203 04 

Salaries, $109,666.58; wages of prevailing rates 

staff, $8,509.74 118,176 32 

Materials and supplies 5,168,237 79 

Office printing, stationeiy and other expendi- 
tures 67,959 97 

5,499,577 12 
Less: Inventory March 31, 1942 174,052 05 

5,325,525 07 

Excess of Revenues over Expenditures 208,354 89 

Excess of Revenues over Expenditures de- 
posited to Casual Revenue $ 257,257 12 



The above accounts have been examined 
and audited under my direction, in accord- 
ance with the provisions of the Consoli- 
dated Revenue and Audit Act, and I certify 
Certified correct. tllat m m y opinion they are correct. 

The stock of stationery, printing materials 
EDMOND CLOUTIER ana - su PP^ es m store, was checked, under 

King's Printer. m >" direction, with the quantities pur- 

chased and supplied, as required by Section 
35 (2) of the Public Printing and Stationery 
Act, Chap. 162, R.S. 1927. 

WATSOX SELLAR, 
Auditor General. 



300 AUDITOR GENERAL'S REPORT 

Audit Note 

Under Section 38 of the Public Printing and Stationery Act as amended, the amount 
of the outstanding advances after deducting therefrom all amounts due to the King's 
Printer by either House of Parliament or by the several departments shall at no time exceed 
$700,000. It may be observed that the outstanding advances at the close of the fiscal year 
1941-42 amounted to $1,116,383.74, which exceeded the statutory authority by $416,383.74. 

Comments on Expenditures 

As of March 31, 1942, there were 214 employees paid from this account, prevailing 
rates staff not included. The following were receiving annual salaries of $2,400 or over on 
that date, or at date of separation (shown in brackets): C. J. Baldwin, $3,120; E. F. 
Bambrick, $2,520; J. J. Bolger, $2,400; J. H. Byrne, $3,360; F. W. Byron, $2,460; J. Cairncross, 
$2,700; O. Charette, $2,700; A. C. Cowtan, $2,700; R. W. H. Currie, $3,120; J. A. DeGagne 
$2,460, special allowance for supervision of staff on night shift, $228.54; J. E. Desrosiers 
$2,700; J. W. Driscoll, $4,020; F. M. Farrell, $2,700; P. A. Gay, $4,920 ;W. Hamilton, $2,520 
F. A. Hewton, $2,700; I. Jobin, $2,700; M. E. Keane, $2,760; A. Lacoste, $2,520; G. F. Lamb 
$3,000; A. H. MacDonald, $2,580 (Oct. 17); J. M. Mahoney, $3,840; W. Manary, $2,760 
J. E. McCarthy, $2,400 (Nov. 11); S. McCartney, $2,760; H. M. McClory, $3,120 (Apr. 18) 
T. A. Parker, $2,700; L. A. Pelton, $3,120; F. W. Pooler, $3,120; J. L. A. Quirouette, $2,700 
D. A. Reny, $2,700; B. E. Rothwell, $2,700; W. Slattery, $2,700 (Oct. 26). 

Paper, printing material, etc., purchased for the Printing Branch, amounted to 
$2,027,659.40. The following payments of $5,000 or over were made: Alliance Paper Mills 
Ltd., Merritton, $38,615.07; Barber-Ellis of Canada, Ltd., Toronto, $49,772.47; J. R. Booth, 
Ltd., Ottawa, $189,982.63; Brown Brothers Ltd., Toronto, $21,652.01; Canada Envelope Co., 
Montreal, $29,133.14; Canada Paper Co., Montreal, $127,774.82; Comptoir National, Montreal, 
$19,503.28; W. V. Dawson Ltd., Montreal, $15,924.43; Dominion Envelope Co., Ltd., Toronto, 
$8,344.36; Dominion Paper Co., Montreal, $5,454.86; Don Valley Paper Co., Ltd., Toronto, 
$73,144.52; E. B. Eddy Co., Ltd., Hull, $202,164.39; W. J. Gage & Co., Ltd., Toronto, 
$50,296.62; Globe Envelopes, Ltd., Toronto, $42,606.83; Gummed Papers, Ltd., Brampton, 
$12,000.01; Litho-Print, Ltd., Toronto, $19,731.18; John Neville Paper Co., Ottawa, $7,081.20; 
Provincial Paper Ltd., Toronto, $144,722.61; Rolland Paper Co., Ltd., Montreal, $362,196.58; 
Howard Smith Paper Mills, Ltd., Montreal, $421,839.68; St. Maurice Valley Paper Co., 
Ltd., Montreal, $16,805.54; Southam Press, Montreal, $6,387.69; Whyte-Hooke Paper Co.. 
Ltd., Toronto, $20,818.93; J. C. Wilson, Ltd.. Montreal, $6,023.06. 

Printing, binding, lithographing, etc., done outside the Printing Bureau amounted to 
$2,323,018.38, of which the following firms received over $5,000: Appleford Paper Products 
Ltd., Hamilton, $6,094.55; Arthurs-Jones Ltd., Toronto, $18,209.92; Ashton-Potter. Ltd., 
Toronto, $13,636.68; The Beauregard Press, Ottawa, $10,139.84; The Benallack Lithographing 
& Printing Co., Ltd., Montreal, $38,371.69; T. H. Best Printing Co. Ltd., Toronto, $9,729.38; 
Bomac Federal Ltd., Montreal, $13,591.13; Brigdens Ltd., Toronto, $12,887.07; Burt Business 
Forms Ltd., Toronto, $87,190.68; Business Systems Ltd., Toronto, $73,507.88; Canada Leather 
Goods, Ottawa, $7,115.30; Canadian Bank Note Co. Ltd., Ottawa, $70,654.29; Canadian 
Printing & Lithographing Co., Ltd., Montreal, $21,372.06; Charrier & Dugal, Ltd., Quebec, 
$12,950.06; Commercial Printers, Ltd., Regina, $13,351.29; Copeland-Chatterson Ltd., 
Brampton, $38,576.46; Copp Clark Co. Ltd., Toronto, $28,521.02; Crain Printers Ltd., Ottawa^ 
$208,421.46; Curtis Co Ltd., Windsor, $7,165.74; Dadson-Merrill Press, Ltd., Ottawa^ 
$59,650.68; Desbarats Printing Co. Ltd., Montreal, $7,904.16; Dominion Looseleaf Co., Ltd., 
Ottawa, $55,548.07; Robert Duncan & Co. Ltd., Hamilton, $7,390.67; Federated Press Ltd., 
Montreal, $265,320.56; W. J. Gage & Co., Ltd., Toronto, $5,304.46; Gazette Printing Co., 
Ltd., Montreal, $6,186.78; The Herald Press Ltd., Montreal, $56,631.56; Hutchings & Patrick 
Ltd., Ottawa, $18,794.90; La Cie de Pub. "Le Nouvelliste", Ltee., Trois-Rivieres, $6,014.36; 
La Lithographie du St-Laurent Limitee, Montreal, $82,088.84; La Patrie Publishing Co., 
Ltd., Montreal, $45,941.12; Le Droit, Ottawa, $49,750.10; The Legge Press (Canada) Ltd., 
Ottawa, $8,777.71 ; Le Soleil Limitee, Quebec, $11,410.15; Litho-Print, Ltd., Toronto, $11,301.02; 
Lowe-Martin Co., Ltd., Ottawa, $54,095.53; MacLean Publishing Co., Ltd., Toronto, $5,726.45; 
Miller Lithographic Co., Ltd., Toronto, $19,713.36; Mortimer, Limited, Ottawa, $180,827.81; 
Mutual Press Ltd., Ottawa, $7,448.69; National Printers Ltd., Ottawa, $36,186.33; Offset 
Print & Litho Ltd., Toronto, $10,514.91; Ottawa Photo Engraving Co., Ottawa, $7,875.06; 
Photo Engravers & Electrotypers Ltd., Toronto, $23,027.29; Progressive Printers, Ottawa, 
$5,927.26; The Public Press, Ltd., Winnipeg, $7,242.72; Rapid Grip and Batten Ltd., Montreal, 



DEPARTMENT OF PUBLIC PRINTING AND STATIONERY 301 

$15,073.62; Reid Bros, and Company, London. $7,069.70; Richardson, Bond A bright, Ltd., 
Owen Sound. $23,527.60; Rolph-Clark-Stone Ltd., Toronto, $70,11352; Thi Roi Ltd., 

Montreal, $43,661.53; Rous & Mann, Ltd., Ti 19,581.35; Hun- Press, Ltd., Ottawa, 

$,761 .97 ; Saturday Nighl Press, Toronto, $5,192.60; R. C. Smith & Son, Ltd., Top 
$8,939.40; Southam Press, Toronto, $34,71754; Stove! Co., Ltd., Winnipeg, $6,604.40; Ville- 
maire Bros., Montreal, $18,049.80. 

Materials and supplies purchased for the Stationery Branch amounted bo $5,168,237.79. 
The following payments of $5,000 or over were made: Acme Carbon & Ribbon Co., Ltd., 
Toronto, $23,226.81; Acme Office Supplies Ltd., Ottawa, $65,176.73; Addressograph-Multigraph 
of Canada Ltd., Toronto, $132,218; Andrews Wire Works of Canada Ltd., Watford, $19,083.44; 
Barber-Ellis of Canada Ltd., Toronto. S5.070.94; Beauregard Press, Ottawa, $28,701.48; 
Bostitch-Canada, Ltd., Montreal, S60.S03.25; Brown Brothers Ltd., Toronto. $105,00752; 
Budge Carbon Paper. Montreal S39.075.19; Builders Sales Ltd., Ottawa, $9313.13; Buntin 
Gillies & Co., Ltd., Bamilton, S5.9S7.68; Burroughs Adding Machine of Canada Ltd., 
$46,778.91; Canada Carbon & Ribbon Co., Ltd., Toronto, $23,828.55; Canada Paper Co., 
Montreal, S6.409.73; Canadian Kodak Sales, Ltd., Toronto. $5,059.46; Capital Carbon & 
Ribbon Co., Ltd., Eastview, S15.0S9.90; Capital Stamp & Stationery Company, Of t 
$5,154.98; Carbon Paper Supply Co., Ltd., Montreal. $20,719.64; Hugh Carson Co., Ltd., 
Ottawa. $8,956.71; Carter's Ink Company of Canada, Ltd., Montreal. $19,945.48; Continental 
Paper Products, Ltd., Ottawa. $10,398.25; Cordage Distributors Ltd., Toronto, $8,914 
Crain Printers Ltd., Ottawa. S8.511.60; Cutting Ltd., Toronto, $21,186.01; W. V. 
Montreal, $5,033.95; Derrett Ltd.. Toronto. $15,323.67; Dictaphone Corporation Ltd., Toronto, 
S2S.S97.7S; Ditto of Canada, Ltd., Toronto, $131,958.54; Dixon Pencil Co., Ltd., Newmarket, 
S3S.360.07; G. L. Dodds, Montreal, $12,035; Dominion Duplicators Ltd., Toronto, $32,296.61; 
Dominion Loose Leaf Co.. Ltd., Ottawa. $45,031.11; Dominion Paper Co., Montreal, 
S15.079.81; Dominion Tack & Nail Co., Ltd., Gait, $6,007.13; Don Valley Paper Co., Ltd., 
Toronto, $37,627.99; Doon Twines Ltd., Kitchener, $36,297.17; V. J. Dunne & Co., Ottawa, 
$18,421.61; Eagle Pencil Co., Ltd., Toronto, $69,476.88; Eberhard Faber Pencil Co.. Ltd., 
Toronto. $5,071.40; E. R. Eddy Co., Ltd., Hull, $192,779.27; Thomas A. Edison of Canada, 
Ltd., Toronto, $14,335.96; Evans & Kert, Ltd, Ottawa, $158,791.91; Federal Typewriter Co., 
Ltd.. Ottawa, $221,280.03; W. J. Gage & Co, Ltd, Toronto, $46,153.21; D. Gestetner 
(Canada) Ltd., Ottawa. $200,659.77; Globe Envelope Ltd, Toronto. S5.450.46; Grand & 
Toy, Ltd.. Toronto, $18,532.03; Gummed Papers Ltd, Brampton. $38,221.92; J. M. Hill, 
Ottawa. S57.421.46; Hutchings & Patrick Ltd.. Ottawa. $12,332.46; Imperial Typewriters 
of Canada. $31,916.72; Instruments Ltd.. Ottawa. S60,2S3.96; International Business Machines 
Co., Ltd, Toronto. $167,375.32; Keuffel & Esser Co, Montreal, $44,065.88; Librairie 
Bcmchemin Ltd, Montreal. $31,663.88; Lowe-Martin Co., Ltd, Ottawa, $117,473.30; Mac- 
Millan Company of Canada Ltd, Toronto, $5.384.9S; MacMillan Office Appliances. Westboro, 
$46,589.02; Marchant Calculators Ltd, Toronto, $13.2S0; Thos. E. Mason, Montreal, 
$48,036.47; A. J. McCrae & Son, Toronto, $5,713.99; McFarlane Son & Hodgson Ltd.. Mont- 
real, S41.711.27; Mitchell & McGill, Toronto, S17.2S3.10; Montreal Office Machines Ltd, 
Montreal, S7.300.70; National Cash Register Co, of Canada Ltd., Ottawa, S17.26S.19; Office 
Specialty Mfg. Co.. Ltd., Newmarket. $95,353.34; Ontario Hughes-Owens Co.. Ltd., Ottawa, 
$101,128.85; Ottawa Paper Box Company Ltd., $6,649.61; Ottawa Typewriter Co., Ltd, 
$36,16159; Oxford University Press, Toronto, $5,550.37; Peerless Carbon & Ribbon Co, 
Ltd., Toronto, $39,273.22; Leonard A. Philip & Co, Toronto, S12.2S5.19; Photostat Corpora- 
tion. Toronto. $16,446.04; J. E. Poole Co, Toronto. S26.S02.30; Pritchard-Andrews Company 
of Ottawa. Ltd., 816,638.78; The J. Frank Raw Co., Ltd., Toronto, S10.461.44; Remington 
Rand. Ltd., $101,019.41; Rolland Paper Co. Ltd, Montreal, ^287.269.66; Roneo Company 
of Canada Ltd, Toronto. $150,950.56; Rotaprint Company of Canada Ltd.. Ottawa. S17. 117.65; 
Howard Smith Paper Mills, Ltd.. Montreal. $461,448.36; South,!.! Press Ltd. Montreal, 
S27.929.1S; The Steel Equipment Co., Ltd., Pembroke. 87,262.92; Thorbnrn & Abbott Ltd., 
Ottawa. 855.532.69; Underwood Elliott Fisher Ltd., S227.367.06; Venus Pencil Co.. Ltd, 
Toronto, S39.96S.73; Visible Records Ltd, Scarboro, $20,S12.21; Warwick Bros. & Rutter, 
Ltd, Toronto, $6,798.77; L. E. Waterman Co., Ltd.. Montreal, S17. 190.82; Willson Stationery 
Co.. Ltd.. Winnipeg, $7,658.64; J. C. Wilson, Ltd., Montreal, $21,750.59. 



DEPARTMENT OF PUBLIC WORKS 
REVENUES 

Summary 

1941-42 1940-41 

Ordinary Revenues — 

Ferry Licences 2,380 00 2,467 00 

Graving Docks 232,119 40 180,612 31 

Telegraph Lines 224,012 81 190,282 41 

Casual Revenues 361,683 61 223,585 22 



$ 820,195 82 $ 596,946 94 



Revenues from the operations of graving docks were increased by $51,507.09. (Champlain 
Dry Dock, $8,446.41; Lome Dry Dock, $13,214.90; Esquimalt Dry Dock, $35,153.99). 

Receipts from government-owned telegraph and telephone lines were increased by 
$33,730.40. 

Casual revenue was increased by $138,098.39. Rents from buildings and sites increased 
$8,955.01, earnings of dredges and plant, $9,086.62, sales of movables, $83,925.65. Refunds of 
previous years' expenditure increased $35,796.30. 



Details 

Ferry Licences — 

A Rentals from licences 2,380 00 

Graving Docks — 
B Earnings of dry docks, etc. 

Champlain dry dock, Lauzon, Que 90,792 18 

Lome dry dock, Lauzon, Que 39,174 90 

Selkirk, Man., repair slip 1,873 30 

Esquimalt, B.C., new dry dock 100,279 02 

232,119 40 
Telegraph Lines — 

C Earnings of telegraph and telephone lines 

Bay of Fundy 2,104 19 

Cape Breton 9,174 33 

Magdalen Islands 4,230 12 

Quebec District 27,094 37 

Maniwaki— Ste. Therese 119 00 

Pelee Island, Ont 333 50 

Killarney, Ont 169 70 

Saskatchewan and Alberta 34,575 31 

Vancouver Island 60,897 00 

Yukon and B.C. Northern 85,315 29 

224,012 81 

302 



DEPARTMENT OF PUBLIC WORKS 303 

Casual Revenue — 

D Commissions from telephone booths in Public Buildings 5,097 40 

E Earnings of dredges and plant 59,958 55 

F Received for work dome by Photographic Branch 29,559 62 

G Refunds againsl expenditures of previous yen--' 55,284 58 

H Rents from public buildings and sites 102.!Kil 98 

Rents from sundry telegraph lines and offices 132 00 

Rents from sundry works, water lots, etc 12,402 82 

I Sales of movables, furniture, fittings, lumber, scrap, etc 94,571 45 

Sale of real estate 1,048 48 

Water collections, William Head pipe-line 606 44 

Sundry receipts 90 29 

361,683 61 

$ 820,195 82 

In accordance with the provisions of 
Certified correct. section 45 (1) of the Consolidated Revenue 

and Audit Act, I have satisfied myself that 
W. P. HARRELL, the above revenues for 1941-42 have been 

Asst. Deputy Minister. fully accounted for. 

WATSON SELLAR, 

Auditor General. 

Comments on Revenues 

A Ferry licences are issued under authority of the Ferries Act, c. 68 R.S. 

B Fees charged for services performed by the dry docks are regulated by Order in Council: 
Champlain and Lome Docks by PlC. 1425, July 23. 1927; Selkirk Repair Slip by P.C. 1548, 
June 13, 1935, and Esquimalt Dock by P.C. 1141, May 12, 1932. 

C Telegraph charges are approved by the Board of Transport Commissioners. 

D Commissions are a percentage of the tolls collected by the telephone companies 

E Hire of dredges amounted to $26,257.81; of scows, $17,289.40; and tugs, $11,914.22. 

F Consists mainly of sales of blue prints and photographic work to various Government 
Departments. 

G Refunds include $34,785.82, the value of materials on hand from closed out cont 
used on other projects. 

H Rents are authorized by Order in Council with the exception of properties under lease 
at the time of purchase. Bank of Canada, S9,907.10; Board of Grain Commissioners, 
$6,388.24; Canadian National Railways, $13,643.50; Caswells Ltd.. S6,800; Ford Hotel, 
$5,000. 

I A payment in full of $35,000 was received for materials and machinery taken possession 
of by Halifax Shipyards Ltd. on or after shipyards went into possession of Dry Dock 
property. The dredge Ajax, etc., was sold to the B.C. Bridge and Dredging Co. Ltd., for 
$43,100. 

APPROPRIATIONS AND EXPENDITURES 

A total of S14.3S0,121.62 was available for expenditure on account of the Department of 
Public Works of which $12,643,409 was provided in the annual appropriation acts, 
$1,365, 1S7.S7 was authorized by continuing statutory provisions, amounts of $100 and 
$1,424.75 were transferred from appropriations voted under the Department of Finance and 
$370,000 from the Department of Labour. Expenditures in the fiscal year 1941-42 wore 
$13,087,477.96, a decrease of $2,40S,126.41 from the expenditures of $15,495,604.37 in 1940-41. 



304 AUDITOR GENERAL'S REPORT 

In addition a total of $4,823,971.35 was allotted to the Department from the War 
Appropriation. Expenditures thereunder amounting to $4,496,944.47 are shown in the War 
Expenditures section of this report. 

No. of 
Vote Services Appropriations Expenditures Lapsed 

Statutory Salary of Minister, Salaries Act, 

c. 182, R.S 10,000 00 10,000 00 

Statutory Motor Car Allowance to Minister, 

Appropriation Act. No. 5, c. 61. 

1931 2.000 00 2,000 00 

257 Departmental Administration ... 188,030 00 173,310 06 14.719 94 

CHIEF ARCHITECT'S BRANCH 

258 Branch Administration 215,280 00 205,307 33 9,972 67 

259 Ottawa — Maintenance and Operation 

of Dominion Public Buildings and 
Grounds, including rents, repairs, 
furniture, heating, etc 2.673,959 00 2,668,795 53 5,163 47 

260 Maintenance and Operation of 

Dominion Public Buildings and 
Grounds, other than at Ottawa, 
including rents, repairs, furniture, 
heating, etc 3,478,430 00 3,381,988 70 96,441 30 

261 Telephone Service at Ottawa .... 97,000 00 96,876 69 123 31 

262 { Telephone Service, other than at 

315 S Ottawa 8,039 35 8,039 35 

CONSTRUCTION, REPAIRS AND 

IMPROVEMENTS OF PUBLIC 

BUILDINGS 

Maritime Provinces Generally 

263 Dominion Public Buildings — 

Improvements and repairs 50,000 00 45,632 35 4,367 65 

Quebec 

264 Dominion Public Buildings — 

Improvements and repairs 100,000 00 94,037 64 5,962 36 

Ontario 

265 Dominion Public Buildings — 

Improvements and repairs.... 100,000 00 96,51119 3,488 81 

Manitoba 

266 Dominion Public Buildings — 

Improvements and repairs.... 35.000 00 27,335 08 7,664 92 

Saskatchewan 

267 Dominion Public Buildings — 

Improvements and repairs .... 35,000 00 33,339 66 1,660 34 

Alberta 

268 Dominion Public Buildings — 

Improvements and repairs . . 35,000 00 17,641 17 17,358 83 

British Columbia 

269 Dominion Public Buildings — 

Improvements and repairs 50.000 00 48,206 13 1,793 87 

Generally 

270 « Dominion Immigration Buildings — 

Repairs, improvements, etc 35,000 00 28,869 41 6,130 59 

271 Dominion Quarantine Stations — 

Maintenance and repairs 17,000 00 15,874 30 1,125 70 

272 Experimental Farms and Science 

Laboratories — 
Replacements, repairs and im- 
provements to buildings .... 100,000 00 99.784 05 215 95 



DEPARTMENT OF PUBLIC WORKS 305 

No. of 
Vote Services Appropriations Expenditures Laps 

273} Flags for Dominion Public Build- 

504 j Inga 8,000 00 6,367 13 1 ,632 87 

274 Public Buildings Generally— 

Repairs, alterations, fittings and 
improvements 200,000 00 181,027 49 18,972 51 

275 Veterans' Hospitals — 

Repairs, improvements and 
alterations 60,000 00 55,516 97 1,483 03 

CHIEF ENGINEER^ BRANCH 

276 Branch Administration 189,570 00 176,59187 12,978 J 3 

277 Engineering, including salaries of 

engineers, clerks, etc 490,390 00 434,672 67 55,717 33 

DREDGING 

278 General Superintendence 9,275 00 7,975 26 1,299 74 

279 Maritime Provinces 349,700 00 235,838 72 1 13,861 28 

2S0) Ontario and Quebec 267,62185 267,62185 

315 j 

281} Manitoba, Saskatchewan and Alberta 54,762 09 54,762 09 

315( 

2821 British Columbia 195,000 00 185,164 66 S35 34 

512 j 

MAINTENANCE AND OPERATION OF 
GRAVING DOCKS, LOCKS AND DAMS, ETC. 

283 Champlain Craving Dock 61,380 00 58,539 50 2,840 50 

284 Esquimalt Graving Dock 70,630 00 69.596 13 1,033 87 

285 Lome Graving Dock 31,740 00 30,773 84 966 16 

286 Selkirk Repair Slip 3,800 00 3,703 73 96 27 

287 Locks and Dams 49,174 00 46,504 89 2.669 11 

288 Snagboats 41,600 00 38.47162 3.128 38 

MAINTENANCE AND OPERATION OF 
ROADS AND BRIDGES 

289 Burlington Channel Bridge 14.700 00 12,847 20 1 .s52 80 

290 Kingston, LaSalle Causeway 15,429 00 14.827 9 1 60106 

291 New Westminster Bridge 48.174 00 48,174 00 

292 1 Ottawa— Bridges and approaches.. 7,958 45 7.958 45 

315 j 

293 ( Generally 19,500 00 16.043 54 v» 46 

SUBSIDIES TO DRY DOCKS 
c. 191, R.S. 

Statutory Burrard Dry Dock (North Van- 
couver) 112,500 00 112.500 00 

Statutory Montreal Floating Dry Dock 105.000 00 105,000 00 

Statutory Prince Rupert Floating Dock 76.970 88 76,970 88 

Statutory Saint John Dry Dock 247,500 00 217.500 00 

CONSTRUCTION, REPAIRS AND IMPROVE- 
MENTS — HARBOURS AM) RIVERS 

Nova Scotia 

294 Harhom-s and Rivers Generally — 

For maintenance of services, no 

new works to be undertaken.. 225.000 00 175.238 90 19,761 10 

505 Dingwall, Improvements S3 .300 00 6.905 57 '143 



306 AUDITOR GENERAL'S REPORT 

No. of 
Vote Services Appropriations Expenditures Lapsed 

Prince Edward Island 

295 ] Harbours and Rivers Generally — 

507 S For maintenance of services, no 

new works to be undertaken.. 100,000 00 29,382 91 70,617 09 

506 Souris. Breakwater repairs 29,000 00 74 54 28,925 46 

New Brunswick 

296 Harbours and Rivers, Generally — 

For maintenance of services, no 

new works to be undertaken... 80,000 00 70,220 39 9,779 61 

508 Burnt Church, wharf repairs 18,000 00 13,867 34 4,132 66 

Quebec 

297 Harbours and Rivers Generally — 

For maintenance of services, no 

new works to be undertaken... 250,000 00 190,845 31 59,154 69 

509 Richelieu River (Chambly Basin) 

—Dredging 17.900 00 3,065 98 14,834 02 

Ontario 

298 | Harbours and Rivers Generally — 

510 ( For maintenance of services, no 

new works to be undertaken . . . 130,000 00 99,008 97 30,991 03 
Grand River — Agreed contribution 

to improvements 168,000 00 158,276 55 9,723 45 

Hamilton— Maintenance dredging 50,600 00 49,730 22 869 78 

Port Colborne, Breakwater repairs 26,750 00 5,041 83 21,708 17 

Manitoba 

299 Harbours and Rivers Generally — 

For maintenance of services, no 

new works to be undertaken . . . 20,000 00 3,705 08 16,294 92 

Saskatchewan, Alberta and North- 
west Territories 

300 Harbours and Rivers Generally — 

For maintenance of services, no 

new works to be undertaken . . . 10,000 00 1,341 35 8,658 65 

British Columbia and Yukon 

301 Harbours and Rivers Generally — 

For maintenance of services, no 
new works to be undertaken . . . 

511 Zeballos — wharf extension and shed 

Generally 

513 Protection Works Generally ... 

514 Balances required to complete any 

projects undertaken in previous 
fiscal years and for which no 
specific provision is made in the 
fiscal year 1941-42 30,000 00 19,813 28 10,186 72 

TELEGRAPH BRANCH 

302 Branch Administration 27,120 00 24,245 68 2,874 32 

* TELEGRAPH AND TELEPHONE SERVICES 
— OPERATION AND MAINTENANCE 

303 | Land and Cable Telegraph Lines — 
315 ( Lower St. Lawrence and Maritime 

Provinces, including working ex- 
penses of vessels for cable work 137,400 19 137,400 19 



90,000 00 
3,300 00 


83,428 92 
3,269 69 


6,571 08 
30 31 


200,000 00 


153,637 56 


46,362 44 



1,370 13 


619 10 


11,539 00 


15 00 


854 14 



DEPARTMENT OF PUBLIC WORKS 307 

No. of 

Vote Services Appropriations Expenditures Lapsed 

304 Alberta and Saskatchewan 87,760 00 86,389 87 

305 1 Divisional Superintendent's Office, 

67 S Vancouver 13,224 75 12,605 65 

306 British Columbia — Northern and 

Yukon Districts 129,508 00 117,969 00 

307 | British Columbia — Vancouver Island 
.315 J District 101,236 06 101,22106 

308 Telegraph and Telephone Service 

Generally 5,000 00 4,145 86 

RECONSTRUCTION, REPAIRS AND 
IMPROVEMENTS 

309 Maritime Provinces and Lower 

St. Lawrence 12,000 00 11,79184 208 16 

310 Saskatchewan and Alberta 12,000 00 6,905 81 5,094 19 

311 | British Columbia — Northern and 

315 j Yukon Districts 17,422 73 17,422 73 

312 British Columbia — Vancouver Island 

District 9,000 00 8,894-97 105 03 

GENERAL 

313 National Gallery of Canada 43,720 00 43,618 80 101 20 

314 Miscellaneous Works, not otherwise 

provided for, not more than $3,000 

to be expended on any one work 50,000 00 26,376 88 23,623 12 

315 To supplement, on approval of 

Treasury Board, except where less 
than $200 is required, any of the 
appropriations of the Department 
of Public Works 100,000 00 
Less transferred to 
Ordinary Expen- 
diture 21,550 72 78,449 28 78,449 28 

68 Unforeseen Expenses, $S0 ,000; transfer 100 00 100 00 

Statutory Exchequer Court Awards 732,588 26 732,588 26 

Statutory Halifax Shipyards Ltd., Consolidated 

Revenue and Audit Act, c. 27, 1931 30,717 24 30,717 24 

SUPERANNUATION AND 
RETIREMENT BENEFITS 

Statutory Gratuities to families of deceased 
employees, Civil Service Act, c. 22 
R..S 7,431 64 7,431 64 



Total Ordinary Expenditure 12,986,641 77 11,937,004 94 1,049,636 83 



SPECIAL 

CHIEF ARCHITECT'S BRANCH 

CONSTRUCTION, REPAIRS, AND 

IMPROVEMENTS 

316 1 To close out contracts 590,000 00 545,819 35 44,180 65 

515 5 

316 Toronto Postal Station "A" Im- 
provements 36,000 00 25,896 14 10,103 86 



308 AUDITOR GENERAL'S REPORT 

No. of 
Vote Services Appropriations Expenditures Lapsed 



CHIEF ENGINEER S BRANCH 

CONSTRUCTION, REPAIRS AND 

IMPROVEMENTS 

317 To close out contracts 357,000 00 248,864 58 108,135 42 

GENERAL 

111 To provide for Relief Projects, 

$2,722,700; transfer 370.000 00 289,413 10 80,586 90 

Statutory Exchequer Court Awards 40,479 85 40,479 85 



Total Special Expenditure 1,393,479 85 1,150,473 02 243,006 8^ 



Total $14,380,121 62 $13,087,477 96 $1,292,643 66 



The above accounts have been examined 
Certified correct. and audited under my direction in accord- 

ance with the provisions of the Consolidated 
B. G. McINTYRE, Revenue and Audit Act. and subject to the 

Comptroller of the Treasury. observations in this report, I certify that 

in my opinion they are correct. 

WATSON SELLAR, 

Auditor General. 



Salary of Minister of Public Works, Salaries Act, c. 182 R.S $ 10,000 00 

Minister of Public Works, Hon. J. P. A. Cardin 

Motor Car Allowance to Minister, Appropriation Act. No. 5, c. 61, 1931 . . . .$ 2,000 00 



Vote 257 Departmental Administration 188,030 00 

Expenditures 173,310 06 



Lapsed $ 14,719 94 



A Salaries 172,030 00 

B Printing and Stationery 

C Travelling Expenses 

D Sundries 



Estimates 


Allotments 




details 


authorized 


Expenditures 


172,030 00 


172,030 00 


158,009 48 


10,000 00 


10,000 00 


10,000 00 


1,500 00 


1,200 00 


616 65 


4,500 00 


4.800 00 


4,683 93 



$ 188,030 00 $ 188,030 00 $ 173,310 06 



Comments on Expenditures 

A As of March 31, 1942, there were 85 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date, or at date of separation (shown 
in brackets) : J. B. Hunter, Deputy Minister $10,000 (Nov. 30) ; W. P. Harrell, Asst. 
Deputy Minister, $4,620; A. J. Crerar, $4,140; H. A. Cross, $2,640; H. F. G. Dawson, $3,420; 
A. E. Day, $2,820; J. A. Drouin, $3,720; E. Dufour, $4,080; B. F. Hart, $3,000; J. E. Huot, 



DEPARTMENT OF PUBLIC WORKS 309 

$3,720; E. Mclntyre, $3,120; C. A. Narraway, $3,720; W. E. O'Brien, $4,920; C. Pinard, 
$2,700; F. Plunkett, $3,000; A. A. Rivard, $3,300; L. Sarault, $2,400; R. A. Sauriol, $2,400; 
J. M. Somerville, $4,620; M. N. Stewart, $2,400. 

E. Mclntyre received an additional amount of $381.77 while serving as private secretary 
to the Minister of Labour from Apr. 1 to Dec. 15 (Vote 99), and $158.23 secretarial allow- 
ance while employed on the staff of the Secretary of State from Dec. 16 to Mar. 31 
(Vote 326). 

D Includes $862.55 for postage, $580.28 for telegrams, $2,142.90 for telephone calls and $150 

for scale. 

CHIEF ARCHITECT'S BRANCH 

Vote 258 Branch Administration 215,280 00 

Expenditures 205,307 33 

Lapsed $ 9,972 67 



Estimates Allotments 

details authorized Expenditures 

A Salaries 203,280 00 203,280 00 196,905 51 

B Printing and Stationery 6,000 00 6,000 00 4,405 70 

C Travelling Expenses 3.000 00 3,000 00 1,845 43 

D Sundries 3.000 00 3.000 00 2,150 69 



$ 215,280 00 $ 215,280 00 $ 205,307 33 



Comments on Expenditures 

A As of March 31, 1942. there were 79 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date, or at date of separation (shown in 
brackets): C. D. Sutherland, Chief Architect, $6,500; A. D. Anderson, $3,480; V. F. R. 
Bert on, $2,700; C. S. Boucher, $3,360; J. C. G. Brault, $5,280; W. C. Chalmers, $3,120; 
L. E. Corbeil, $2,700; A. S. Davis, $3,120; R. Donnell. $3,120; J. C. Emond, $2,580; 
W. L. Fawcett, $2,580; J. A. Ferguson, $3,720; J. R. Grant, $2,520 (suspended from Nov. 
14); F. O. Hamel, $4,140; A. Hearnden, $2,400; J. A. Heisler, $3,720; W. J. Hickey, 
$4,140; W. Huber, S4,140; D. H. Hunter, $3,120; A. Kecfer, $3,480; J. T. E. Lavoie, $2,700; 
P. A. Lefort, $3,120 (Oct. 21); H. G. Legg, $3,300; L. J. Lockary, $2,820; J. C. Longstaff, 
$2,820; J. W. L. McLean, $3,720; H. W. Merrill, $2,820; J. Owen, $3,480; T. D. Rankin, 
$5,100; A. W. Reynolds, $2,700; R. J. P. Rouleau. $2,400; A. Scott, $3,120 (Oct. 7); 
W. J. Scrim, S2,400; W. L. Smith, $3,120; R. Steele, $2,700; J. Sterling, $3,000; E. E. Temple, 
$4,140; J. W. D. Thompson, $2,700; D. Williams, $3,480; D. A. Williamson, $4,140; 
S. J. Wood, $2,940; A. B. Wright, $3,120. 

C Travelling expenses for E. E. Temple amounted to $390.15. 

D Includes $1,546,73 for telegrams and $545.35 for telephone calls. 

Vote 259 — Ottawa — Maintenance anil Operation of Dominion Public 
Buildings and Grounds including Rents, Repairs, Furni- 
ture, Heating, etc. 2,673,959 00 

I i>te 315 To supplement on approval of Treasury Board, except when 
less than $200 is required, any of the appropriations of 
the Department of Public Works, $100,000; transfer 44,000 00 



2,717,959 00 
Expenditures 2,668,795 53 



Lapsed $ 49,163 47 



310 



AUDITOR GENERAL'S REPORT 



Estimates 
details 

A Salaries and Wages 1,029,029 00 

B Rents . 730,000 00 

C Light and Power 233,800 00 

D Water and Water Rates 56,000 00 

E Furniture and Fittings 103,000 00 

F Materials and Supplies 510,130 00 

G Inspection of Fire Equipment 12,000 00 

$2,673,959 00 



Allotments 
authorized 



638,200 00 

255,800 00 

61,000 00 

76,000 00 

537,930 00 

12,000 00 



Expenditures 



1,093,029 00 1,090,803 50 



637,247 74 

255,369 19 

60,918 60 

75,317 08 

537,139 42 

12,000 00 



$2,673,959 00 $2,668,795 53 



Comments on Expenditures 

By Section 9 (/) of the Public Works Act, c. 166 R.S., the Minister shall have the 
management, charge and direction of the heating, maintenance and keeping in repair of the 
Government buildings at the seat of government and any alteration from time to time 
requisite therein, and the supplying of furniture and fittings, or repairs to the same. 

This vote makes provision for the expenditures incurred. 

A As of March 31, 1942, the employees paid from this allotment were as follows: — 

Maintenance Staff 176 

Char Service 1,260 

Elevator Staff 122 

Heating Staff 161 

Rideau Hall 24 



1,743 



The following employees were receiving annual salaries of $2,400 or over on March 31, 
1942, or at date of separation (shown in brackets) : R. O. Croll, $2,520 (and house) ; 
A. Hudon, $2,520; D. Laverie, $2,880; W. J. Mclnninch, $2,520; A. McWade, $2,400; 
E. A. Piatt, $3,600; D. L. Thorburn, $2,520; W. Wiley, $4,080 (May 5) ; F. H. Wilson, $2,940. 

The following employees, paid prevailing rates, received over $2,400 during the year: 
R. W. Lyon, $2,589.72; A. McCagg, $2,872.25; A. Mayer, $2,542.81; O. St. Aubin, $2,622.59; 
A. Stewart, $2,852.48. 

B Rentals for space required by Government service at Ottawa were as follows: — 







Occupied 








Area 




Landlord 


Building 


Sq.ft. 


Expenditures 


H. Birks & Sons 


Birks 


22,301 


$13,746 34 


R. L. Blackburn 


Plaza 


15,642 


14,526 12 


R. L. & R. Blackburn 


Blackburn 


69,151 


66,536 37 


R. L. & R. Blackburn 


Motor 


43,935 


29,637 62 


C. J. Booth 


Jackson — adjustment of rent- 
als to Dec. 31, 1940— P.C. 








4457, June 20, 1941 




11,274 03 


C. J. Booth 


Transportation 


12,890 


14,315 70 


Booth & Holbrook 


Booth 


16,495 


17,319 75 


Estate J. C. Brennan 


Trafalgar 


16,918 


15,750 62 


Estate J. C. Brennan 


199 Queen St. 


1,800 


150 00 


Estate H. Brouse 


Castle 


34,000 


8,000 00 


Estate H. Brouse 


Insurance Exchange'' 


7,506 


8,542 50 


Estate H. Brouse 


78 Sparks 


1,120 


280 00 


Bryson Realty Co. 


Bryson 


12,280 


10,438 00 


Builders' Sale? Co. 


Old Duhamel 


5,975 


2,390 00 


Builders' Sales Co. 


529 Sussex St. 


11,140 


6,871 78 


County Orange Lodge No. 9 


Orange Hall 


11,350 


8,250 00 


J. W. D'Amour 


Robinson 


34,301 


24,650 07 


J. Grant 


Grant 


27,000 


9,000 00 



DEPARTMENT OF PUBLIC WORKS 



311 









Occupied 










Area 




Landlord 




Building 


Sq.ft. 


Expenditures 


Estate Dr. J. E. Hanna 




Regal 


23,112 


15,450 00 


Imperial Realty Co. 




Canadian 


76,772 


54,077 40 


Imperial Realty Co. 




Woods 


53,874 


37,957 32 


Imperial Realty Co. 




66 Queen St. 


9,796 


6,897 12 


S. S. Kresge Co. Ltd. 




Rideau St. 


17,485 


12,195 00 


Estate P. Labelle 




Labelle 


72,372 


34,648 00 


J. A. MacKenzie 




MacKenzie 


24,490 


16,000 00 


Metropolitan Stores Ltd. 




Arcade 


24,000 


12,000 00 


Norlite Realty Co. 




Forest Products Laboratory 


38,400 


17,800 00 


Norlite Realty Co. 




Norlite 


42,516 


43,000 00 


Norlite Realty Co. 




130 Albert St. 


8,769 


1,000 00 


Norlite Realty Co. 




174-8 Wellington St. 


16,520 


10,500 00 


Ottawa Car Manufacturing 


Co. 


Ottawa Car Garage 


19,080 


10,632 00 


Ottawa Electric Railway 


Co. 


60 Queen St. 


13,143 


7,500 00 


Ottawa Terminals Railway Co. 


Union Station 


28.122 


22,849 00 


Rideau Winter Club 




Rideau Curling Club 


14,432 


6,374 98 


R.C. Episcopal Corporation 


Monument National 


21,533 


14,974 56 


Royal Bank of Canada 




Royal Bank Chambers 


17,925 


15,608 79 


Royal Trust Co. 




Royal Trust 


1,500 


2,400 00 


Royal Trust Co. 




Steele 


17,829 


9,998 84 


Slater & Sherwood 




193 Sparks St. 


7,399 


5,550 00 


Sovereign Realty Co. 




Besserer 


13,920 


6,000 00 


Sovereign Realty Co. 




Sovereign 


16,436 


13,911 96 


Sovereign Realty Co. 




Stephen 


9,995 


7,500 00 


Sun Life Assurance Co. 




Central Chambers 


8,838 


9,197 46 


Sun Life Assurance Co. 




Sun Life 


1,550 


250 00 


Therien & Co. 




Therien 


31,500 


9,850 00 


Toronto General Trusts Corp 


Earlscourt Apartments 


12,000 


8,000 00 


Toronto General Trusts Corp. 


Trusts 


1,212 


1,272 60 


Victoria Realty Co. 




Victoria 


5,330 


8,443 92 


Vimy Realty Co. 




Vimy 


26.500 


12,000 00 


Sundry rentals each less than $5,000 : 




65,038 33 


Clock-line service. 8579.15; 


taxes, S94.837.4S 




95,416 63 



Total rentals 



$855,972 81 



Of the rentals shown, $218,725.07 was charged to War Allotment for rentals of properties 
housing War Staffs. 

Under terms of the lease with the Imperial Realty Co., city taxes amounting to 
$17,355.45 were paid from this allotment. 

Taxes on Legation properties were as follows: Australian residence, $2,230.37; Brazilian 
residence, $1,184.20; British High Commissioner's residence and office, $6,686.23; French 
Legation, $39,815.69; United State offices, $23,845.54, residence, $3,720. 
C Cost of light and power for Government occupied buildings was $315,238.30 of which 
$59,869.11 was charged to War Appropriation. 

The Ottawa Light Heat & Power Co. Ltd., received $192,558.80 for current supplied 
the Government-owned buildings and $16,976.72 for rented buildings. 
The Ottawa Hydro-Electric Commission received $50,799.69 for current supplied to 
Government-owned buildings and $27,600.27 for rented buildings 

Ahearn and Soper were paid $23,154.93 for supplying 108,397 electric light bulbs. 
The expenditures for light and power exceeded $5,000 for the following buildings:— 
Canadian, $7,112.65; Central Experimental Farm, $19,520.75; Confederation, $9,655.04; 
Connaught, $5,946.34; Daly, $9,346.90; Fuel and Ore Testing Plant, $15,903.79; Hunter, 
$11,988.13; Jackson, 811,865.55; Justice, $7,531.70; National Research & Annex, $18,534.06 j 
New Post Office, $5,009.79; New Supreme Court, $9,797.03; Parliament Building, $21,576.46; 
Postal Terminal, $6,573.65; Printing Bureau, $9,589.75; Statistics, $7,565.79; Temporary 
No. 2, $6,495.47; Temporary No. 3, $6,480.81; Victoria Museum, $7,291.76; Woods, $5,071.52. 



312 AUDITOR GENERAL'S REPORT 

D The City of Ottawa received $61,311.31 for metered water and $4,351.34 for water 
charged on a flat rate basis. Of this $5,698.90 was charged to War Appropriation. 

The expenditures for water at the National Research and Annex were $11,605.52 and at 
Rideau Hall $5,561.47. 

E Furniture and fittings for Government offices cost $655,161.61 of which $579,844.53 for 
staffs employed on war work was charged to War Allotment. Steel office equipment cost 
$296,940.38, other furniture, desks, rugs, etc., $356,767.21, and trucks, etc., $1,454.02. The 
following firms received over $5,000:— Canadian Public Booth Co., $22,757; M. N. Cum- 
mings, $5,744.67; 'Imperial Typewriters, $5,037.87; Krug Furniture, $9,228.61; Office 
Specialty Manufacturing Co., $186,247.63; Ottawa Typewriter Company Ltd., $19,913.08; 
H. H. Popham, $135,676.21; Preston Furniture Co., $85,342.36; Preston-Noelting Ltd., 
$23,427.36; Steel Equipment Company Ltd., $100,888.21; N. G. Valiquette, $19,117.81; 
Vilas Furniture Co. Ltd., $14,137.34. 

F In addition to these expenditures of $537,139.42 a total of $786,799.08 for similar services 
for quarters of War Staffs was paid from War Allotment. Of these amounts $423,030.06 
was spent for heating offices, $57,269.16 for supplies for char services, $12,704.93 for repair 
to and supplies for Rideau Hall and $1,749.42 was paid in gratuities to families of deceased 
employees. 

Repairs and improvements to buildings amounting to $819,956.92 included $689,800.65 
charged to War Allotments. Buildings with expenditures over $5,000 were: Aylmer, Bate 
and Truro, $8,741.43; Birks, $13,200.71; Confederation, $10,665.14; Elgin and Annex 
85,011.30; Freiman, $22,672.06; Harris-Campbell, $18,104.11; Hunter, $11,509.90; Jackson 
858,053.18; Justice, $6,800.67; Mortimer, $5,926.53; National Research and Annex, $16,419.60 
Parliament Hill, $9 .002.96; Record Storage, $9,732.99; Rideau Winter Club, $7,200 
Robinson, $7,037.94; Supreme Court, $16,519.21; Temporary 1, 2, 3 and 4, $59,779.85 
Temporary 5, $6,076.39; W T oods, $7,242.13. 

The following firms received over $5,000: Ahearn & Soper Ltd., $5,790.64; Builders' Sales 
Ltd., $8,317.54; Canadian General Electric, $13,513.37; Canadian National Railways, 
$9,465.85; Casselman Co., $6,039; Continental Paper Products, $6,125; M. N. Cummings, 
$58,369.29; Wm. D'Aoust, $8,809; Doran Construction Company Ltd., $19,109; Duford 
Limited, $10,377.25; Dustbane Products, $7,049.49; Geo. C. Graves Construction Co. Ltd., 
$26,917.80; Hygiene Products, $5,464.37; Imperial Oil, $12,171.88; Independent Coal & 
Lumber Co., $244,774.98; MacDonell & Conyers, $5,145.20; Marchand Electric Co. Ltd., 
$11,062.44; National Petroleum Ltd., $90,855.92; Northern Electric Co. Ltd., $6,045.41; 
diaries Ogilvy, $7,213.57; Otis-Fensom Elevator Co., $21,888.50; Ottawa Light Heat & 
Power, $12,195.93; Snelling Paper Sales Ltd., $5,439.91; Fred A. Wilson, $25,302.50. 

Expenditures of over $5,000 were made for gas and steam heat in the following build- 
ings:— National Research and Annex, $6,332.97; Postal Terminal, $9,465.85. 

G Transferred to the Royal Canadian Mounted Police who are responsible for the 
inspection. 

Vote 260 Maintenance and Operation of Dominion Public Buildings 
and Grounds, other than at Ottawa, including Rents, 

Repairs, Furniture, Heating, etc , . . 3,478,430 00 

Expenditures 3,381,988 70 

Lapsed $ 96,441 30 



Estimates Allotments 

details authorized Expenditures 



A Salaries and Wages 1,605,781 00 1,690,781 00 1,687,650 20 

B Rents 675,000 00 550,000 00 516,958 66 

C Light and Power 390,000 00 440.000 00 428,448 46 

D Water- 95,000 00 95,000 00 83,389 71 

E Furniture and Fittings 99,000 00 89,000 00 76,452 33 

F Material and Supplies 573.649 00 573,649 00 562,787 04 

G Sundries 40,000 00 40,000 00 26,302 30 



$3,478,430 00 $3,478,430 00 $3,381,988 70 



DEPARTMENT OF PUBLIC WORKS 313 

The expenditures by provinces were : 

Nova Scotia 175,510 13 

Prince Edward Island 28,005 52 

New Brunswick 158,563 96 

Quebec 914,615 15 

Ontario 1,014,539 50 

Manitoba 225,360 88 

Saskatchewan 231 991 64 

Alberta 213,025 28 

British Columbia 336,670 30 

Generally 16600 71 

London, England 41 977 54 

Yukon 25,128 09 



$3,38 1,988 70 



Salaries and Wages: 

Nova Scotia 39,994 97 

Prince Edward Island 10,868 85 

New Brunswick 83^725 48 

Quebec 475,820 89 

0ntario 531,479 36 

Manitoba 112,373 59 

Saskatchewan 93 145 51 

Alberta 93^683 92 

British Columbia 184 999 99 

London, England 10 002 81 

Yukon 10^644 S3 



81,687,650 20 



Comments on Expenditures 

A As of March 31, 1942, there were 1,779 employees paid from this allotment. Of these 
the following were receiving annual salaries of $2,400 or over on that date or at date of 
separation (shown in brackets): C. F. Dawson, $3,120; P. S. Hunter, $2,580; H. M. Jones, 
$2,400; J. P. Mines, $3,420 (house $300); E. Parkinson, $2,880; H. A. Russell (May 14), 
$3,120; C. Sellens, $3,120; J. B. Shaw, $2,700; R. Simard, $3,600; G. J. Stephenson (Feb 
28), $3,120; J. H. Whitford, $3,120; R. Winter, $4,140. 

The following employees paid prevailing rates received over $2,400 during the year: 
D. Clarke, $2,957.52; H. L. Cook, $2,477.16; C. C. Edmonds, $2,477.16; J. Lament, $2,477.16; 
T. F. Powell, $2,477.16; H. Popert, $2,477.16; P. C. Stewart, $2,477.16. 

The employees on March 31 were distributed as follows: Maritime Provinces, 215; 
Quebec, 489; Ontario, 572; Manitoba, 128; Saskatchewan, 98; Alberta, 98; British 
Columbia, 163; Yukon, 3; London, 13. 

In 405 buildings living quarters were occupied by employees. These quarters were 
valued as follows: 309 at $300; 20 at $240; 75 at $180; and 1 at $120. In 23 cases the 
Quarters were in lieu of salary, in the other 381 the value of quarters was deducted from 
the authorized salary rate and the net amount only charged to the vote. The estimated 
value of these quarters is $111,120.00. 

B The office accommodation outside of Ottawa cost $774,829.63, of which $242,972.47 was 

charged to War Allotment and $14,898.50 was repaid by the Post Office Department as 

rentals due for space occupied by commission post offices. The net charges were distributed 

as follows: Nova Scotia, $30,729.35; Prince Edward Island, $3,719.47; New Brunswick, 

59727-21 



314 



AUDITOR GENERAL'S REPORT 



$15,567.21; Quebec, $190,193; Ontario, $270,573.62; Manitoba, $28,717.71; Saskatchewan, 
$61,441.16; Alberta, $78,093.47; British Columbia, $58,526.44; Yukon, $660; London, 
England, $21,709.70. The following list shows rentals of $5,000 and over:— 







Space 








Occupied 






Landlord 


(sq.ft.) 


Expenditures 


Montreal R.C.N.V.R. 


Bell Telephone Co. 


15,634 


6,650 00 


Montreal 


Empire Life Insurance Co. 


17,200 


8,850 00 


Montreal Postal Station N. 


Labelle Building Co. 


9,178 


26,616 40 


Montreal Forest Products 


McGill University 




7,581 43 


Montreal 


Prudential Assurance Co. 


4,875 


14,303 34 


Quebec 


Canadian Pacific Railway 


6,000 


6,000 00 


Kitchener 


Dunker Construction Ltd. 


16,462 


6,600 00 


Toronto 


H. Atlin & J. Zelman 


13,930 


9,900 00 


Toronto 


Balfour Building Co. 


5,300 


5,000 00 


Toronto 


Gibson Bros. 


13,985 


16,410 15 


Toronto 


V.E., G.E. & L.G. Mitchell 


5,634 


5,000 00 


Toronto 


Prudential Assurance Co. 


7,195 


7,575 00 


Toronto 


Toronto Terminals Rly. Co. 


86,827 


52,452 36 


Toronto 


Dr. J. H. Wood 


8,671 


8,640 00 


Winnipeg 


Canadian Pacific Railway 


12,000 


7,400 00 


Regina 


Canadian Pacific Railway 


24,884 


29,581 80 


Regina 


City of Regina 


27,200 


5,400 00 


Regina 


New Regina Trading Co. 


11,223 


5,588 97 


Calgary 


Blow Estate 


37,016 


17,820 00 


Calgary 


Canadian Pacific Railway 


6,000 


6,250 00 


Edmonton 


Blowey-Henry Co. 


17,041 


14,156 48 


Edmonton 


Canadian National Railway 


10,885 


8,561 50 


Vancouver 


Estate H. O. Bell-Irving 


64,695 


5,000 00 


Vancouver 


H. M. Fraser & Co. 


8,700 


6,200 00 


London — Canada House 


Commissioner of Crown Lands 








(ground rent) 




8,940 00 




City of Westminster (Taxes) 




12,680 08 



C Light and Power includes supply of electric light bulbs for which Ahearn and Soper Ltd. 
received $28,619.11, as follows: Maritime Provinces, $5,334.95; Quebec, $7,274.46; Ontario, 
$10,430.69; Saskatchewan, $1,003.15; Alberta, $1,478.05; British Columbia, $3,097.81. 

The following firms supplying electric current received over $5,000: British Columbia 
Electric Railway Co., $30,618.66; Canadian Utilities Ltd., $9,484.07; City of Calgary, 
$5,443.55; City of Edmonton, $8,783.11; City of Regina, $6,081.33; City of Winnipeg 
Hydro-Electric System, $9,787.28; Hamilton Hydro-Electric System, $6,908.02; Manitoba 
Power Commission, $5,360.55; Maritime Electric Co. Ltd., $6,329.32; Montreal Light, Heat 
and Power Co., $61,223.84; Nova Scotia Light and Power Co., $16,223.79; Quebec Power 
Co., $25,647.17; Shawinigan W T ater and Power Co., $5,967.80; Southern Canada Power Co. 
Ltd., $5,225.69; Toronto Hydro-Electric System, $42,865.71; West Kootenay Power Co., 
$7,058.64; Winnipeg Electric Co., $11,442.77. 

In addition to the charges to this allotment $7,051.90 was paid for light and power from' 
the War Allotments. 

D Water, with a few exceptions, is supplied by the local municipalities. Total expenditures 
were $86,078.08 including $2,688.37 charged to War Allotments. Accounts over $5,000 were : 
City of Montreal, $24,329.78; City of Quebec, $10,486.16. 

E Payments for furniture and fittings for public buildings outside of Ottawa were 
$280,899.35 including $204,447.02 charged to War Allotments. 

The following firms received over $5,000: Bond Engineering Works Ltd., $5,810.96; 
Office Specialty Manufacturing Co., $23,689.42; Steel Equipment Co., $13,592.25. 

F Heating cost $488,961.34; caretakers'* supplies, $67,211.71; uniforms, $3,498.64; repairs to 
Canada House, $739.15; and repairs to Yukon buildings, $2,551.44. Included in these 
totals was $175.24 charged to War Allotments. 

Accounts of the following firms for coal, steam heat, etc., amounted to over $5,000: 
P. Berube, $8,061.80; City of Winnipeg Hydro-Electric System, $18,178.82; Conger Lehigh 



DEPARTMENT OF PUBLIC WORKS 315 

Coal Company, Ltd., $5,945.01; Geo. Couillard, $7,262.09; Doithers Ltd., $7,858.50; 
Eastern Coal Company Ltd., $5,950.30; Elie Coal Ltd., $16,508.33; Fort Rouge Coal Com- 
pany Ltd., $5,515.66; Hochelaga Petroleum Co., $6,716.58; G. H. King, $12,370.68; 
Mongeau & Robert, $17,508.41; National Petroleum Limited, $5,265.48; Toronto Terminals 
Railway Co., $30,206.17. 

G The following persons received over $300 for travelling expenses: T. J. Arnall, $539 83- 
C. F. Dawson, $691.59; R. F. Duke, $462.33; E. Parkinson, $532.92; Chas. Sellens' $534.86- 
J. B. Shaw, $478.63; R. Simard and his assistants, $1,694.48; J. H. Whitford, $341.50; 
R. Winter and his assistants, $1,601.40. 

Photographic supplies and work cost $27,833.28 but $21,150.13 was refunded for these 
services. Instruments Ltd. were paid $5,491.79 and Photographic Services $6,677.35. 

An advance of $250 was made to John G. Ahern for legal fees, etc. 

Gratuities to families of deceased employees amounted to $1,460.96. 

Vote 261 Telephone Service at Ottawa .... gj qqq qq 

Expenditures 96,876 69 

Lapsed # 123 31 



Comments on Expenditures 

The costs of the telephone service for the various Departments at Ottawa and of 
residence telephones for the Ministers and their private secretaries were paid from this voto 

Exchange service for offices is given through one large and three smaller private branch 
exchanges at a cost of $200,450.32; direct telephone services cost $5,766.52 and $182199 was 
paid for the cost of printing Government directories. Of this amount $111,185 05 'is charged 
to the allotment for War Contingencies. These expenditures include the service for Hull 
Animal 1 Laboratories and Post Office, Connaught Rifle Range, R.C.M.P. Barracks and 
Hogs Back and Long Island Lockhouses. 

The National Harbours Board, Farm Loan Board, International Joint Commission 
I ^employment Insurance Commission and sundry other offices were serviced through this 
and have repaid the charges for the telephones used. 

Vote 262 Telephone service other than at Ottawa g 000 00 

Vote 315 To supplement, on approval of Treasury Board except when 
less than $200 is required, any of the appropriations of 
the Department of Public Works, $100,000; transfer 39 25 



Expenditures $ oq 39 2 5 



Comments on Expenditures 

The expenditures covered 125 telephones with 53 extensions as follows: Architect's 

Branch, lo office and 2 residence telephones; Engineering Branch, 41 office and 23 residence 

telephones; Telegraph Branch, 41 office and 1 residence telephones; Minister's Office 

Montreal, 2 telephones. ' 

Vote 263 Dominion Public Buildings, Improvements and Repairs, 

Maritime Provinces generally 50 qqq qq 

Expenditures .'.'.'. '.'.'.' 45,632 35 



Lapsed * 



4,367 65 



Comments on Expenditures 

™t n a *? ition t0 . the above amount $9,466.42 from War Allotment was spent on these 
Enk M° r T T U ' S W T Z* de t0 62 buildingS in Nova Scotia > 13 m Pri ^e Edward Island 

Post OffirP ^^fi SW1 Q , Rep S lra /??l? ng m ° re than $2 ' 000 were M foIlows: Halifax New 
Post Office, $5,676.86; Sydney Post Office, $3,042.37; Charlottetown Post Office, $2 218 93 
Uair Customs and Immigration Building, $2,036.36; Moncton Post Office, $6,470 21- Saint 
John Custom House, $2,481.63; Saint John New Post Office $2 957 70 

59727—211 



316 AUDITOR GENERAL'S REPORT 

Vote 264 Dominion Public Buildings. Improvements and Repairs, 

Quebec 100,000 00 

Expenditures 94,037 64 

Lapsed $ 5,962 36 



Comments on Expenditures 

In addition to the above amount $24,497.01 from War Allotment was spent on these 
works. Minor repairs were made to 197 buildings of which the following were over $2,000: 
•Granby Post Office, $2,677.90; Montreal New Customs Examining Warehouse, $5,956.27; 
Montreal Old Examining Warehouse, $8,033.45; Montreal Place D'Armes Post Office, 
:$5,3e9.33; Montreal Postal Station "H", $6,125.10; Montreal Terminal Building, $6,056.36; 
Quebec Citadel, $3,893.13; Quebec Immigration Building, $3,683.32; Quebec Postal Terminal 
Building, $5,746.24; Quebec Uptown Post Office, $4,272.99; St. Lambert Post Office, $2,540.09; 
Trois Rivieres Post Office, $3,321.40. 

The Otis-Fensom Elevator Co. was paid $7,106.73. 

Vote 265 Dominion Public Buildings, Improvements and Repairs, 

Ontario 100,000 00 

Expenditures 96,511 19 

Lapsed $ 3,488 81 



Comments on Expenditures 

In addition to the above amount $25,694.64 from War Allotment was spent on these 
works. Minor repairs were made to 260 buildings. Those where expenditure was over 
$2,000 are as follows: Brockville Wartime Prices and Trade Board, $3,637.69; London New 
Post Office, $4,156.20; Toronto Custom House, $12,117.10; Toronto Commerce and 
Transportation Building, $4,235.42; Toronto Metropolitan Building, $4,37324; Toronto Post 
Office, $5,529.58; Toronto Postal Station "A", $11,554.86; Toronto R.C.A.F., York-Pier 
Building, $3,344.50; Windsor Post Office, $6,846.44. 

The Otis-Fensom Elevator Co. was paid $16,216.99. 

Vote 266 Dominion Public Buildings, Improvements and Repairs, 

Manitoba 35,000 00 

Expenditures 27,335 08 

Lapsed $ 7,664 92 



Comments on Expenditures 

In addition to the above amount $5,853.87 from War Allotment was spent on these 
works. Minor repairs were made to 62 buildings of which the following were over $2,000: 
Winnipeg General Post Office, $2,575.18; Winnipeg Power Building, $5,134.22; Winnipeg New 
Public Building, $9,044.60. 

C. S. Johnston Co. was paid $5,5x6.52. 

Vote 267 Dominion Public Buildings, Improvements and Repairs, 

Saskatchewan 35,000 00 

Expenditures 33,339 66 

Lapsed $ 1,660 34 



Comments on Expenditures 

In addition to the above amount $1,322.53 from War Allotment was spent on these 
works. Minor repairs were made to 55 buildings of which the following were over $2,000: 
Lloydminster R.C.M.P., $2,179.58; Regina Federal Building, $2,389.37; Regina Post Office, 
$2,252.44; Saskatoon New Post Office, $4,251.86; Saskatoon Old Post Office, $2,781.45. 






DEPARTMENT OF PUBLIC WORKS 317 

Vote 268 Dominion Public Buildings, Improvements and Repairs, 

Alberta 35,000 00 

Expenditures 17,641 17 

Lapsed $ 17,358 83 



Comments on Expenditures 

In addition to the above amount $1,028.88 from War Allotment was spent on these works. 
Minor repairs and improvements were made to 46 buildings of which the following cost over 
$2,000: Calgary Post Office, $3,778.71; Edmonton Post Office. $2,157.25; Grande Prairie Post 
Office, $3,175.75. 



Vote 269 Dominion Public Buildings, Improvements and Repairs, 

British Columbia 50,000 00 

Expenditures 48,206 13 

Lapsed $ 1,793 87 



Comments on Expenditures 

In addition to the above amount $9,871.78 from War Allotment was spent on these 
works. Minor repairs and improvements were made to 85 buildings of which the following 
were over $2,000: Vancouver Examining Warehouse, $3,194.35; Vancouver Post Office, 
$9,290.02; Vancouver Winch Building, $10,997.35; Victoria, Astrophysical Observatory, 
$4,372.03; Victoria New Post Office, $2,955.93. 

H 0. Layfield Co. was paid $9,118.74. 



Vote 270 Dominion Immigration Buildings, Repairs, Improvements, etc. 35,000 00 
Expenditures 28,869 41 



Lapsed $ 6,130 59 



Comments on Expenditures 

National Harbour Board, Halifax, was paid $25,000 for maintenance, repairs, renewals, 
water, electricity and steam for quarters occupied at the Halifax Ocean Terminal. 

Expenditures amounting to $3,869.41 were made at 7 other buildings across Canada. 

Expenditures for Immigration Buildings were also charged to Vote 260 as follows: furni- 
ture $510.61; heat, $8,168.59; light and power, $2,756.65; rent, $40.18; water, $1,065.75. 



Vote 271 Dominion Quarantine Stations, Maintenance and Repairs. . . 17,000 00 

Expenditures 15,874 30 

Lapsed . .$ 1,125 70 



Comments on Expenditures 

Expenditures were incurred at 7 stations. 

Other expenditures for Quarantine Stations were charged to Vote 260 as follows: — 
Furniture. $14.35; heat, $16,295.94; light and power, $3,988.26; water, $335.26. 



Vote 272 Experimental Farms and Science Laboratories, Replacements, 

Repairs and Improvements to Buildings .... 100,000 00 

Expenditures 99,784 05 

Lapsed $ 215 95 



318 AUDITOR GENERAL'S REPORT 

Comments on Expenditures 

Disbursements are for repairs and improvements to existing farm buildings. For Central 
Farm, Ottawa, the expenditure amounted to $43,666.30, of which $29,407.21 was paid for 
labour and $14,259.09 for materials, etc. For the branch farms, laboratories, etc., the 
expenditure was $56,117.75, of which $17,804.51 was paid for labour and $38,313.24 for 
materials, etc. 

Other expenses for experimental farms are charged to Vote 259, heat, $18,272.42; light 
and power, $19,520.75; water, $3,060.51 and to Vote 260, furniture, $1,111.82; heat, $38,871.68; 
light and power, $28,697.20; water, $101.64. 

Vote 273 Flags for Dominion Public Buildings 2,500 00 

Vote 504 Further amount required . 5,500 00 



8,000 00 
Expenclitures 6,367 13 



Lapsed $ 1,632 87 



Vote 274 Public Buildings Generally — Repairs, Alterations, Fittings 

and Improvements 200,000 00 

Expenditures 181,027 49 

Lapsed $ 18,972 51 



Comments on Expenditures 

Repairs were carried out on 6 buildings in Nova Scotia, 3 in Prince Edward Island, 6 in 
New Brunswick, 22 in Quebec, 36 in Ontario, 1 in Manitoba, 6 in Saskatchewan and 4 in 
British Columbia. 

Public Buildings on each of which over $2,000 was spent were: Halifax Old Post Office, 
$2,613; Springhill, $2,500; Moncton, $2,466.60; Saint John Customs, $3,484; Montreal, New 
Examining Warehouse, $3,287; Montreal, York Realty Building, $2,018.90; Quebec, Marine 
Building, $2,785; Shawinigan Falls, $2,425; Sorel, $7,517.49; Trois Rivieres, $2,720; Kingston 
Customs, $2,335; Ottawa, Central Heating Plant, $5,672.01; Dominion Bureau of Statistics, 
$3,664.01; Elgin St. expropriation, $9,420.10; National Research Council, $12,010.32; New 
Supreme Court and grounds, $4,708.77; Parliament Building, $8,255.66; Rideau Hall, $8,760.33; 
Victoria Museum, $7,844.38; Wellington St. expropriation, $8,328.79; Pembroke, $7,021.15; 
Moose Jaw, $4,062; Prince Albert, $2,558.50; Regina Post Office, $3,095.20; Saskatoon, $2,650; 
Weyburn, $2,580.88; and Vancouver Examining Warehouse, $2,070.60. 

Firms who received over $5,000 were: Estate of W. Beatty, $6,612.30; G. A. Crain & Sons, 
$9,187; A. Gratton Enrg., $10,055; R. Taylor & Son, $8,590.50. 

The more important expenditures were: 
Montreal, York Realty Building: Legal and valuation fees, including attendance in court, 

$2,018.90. 
St. Jerome : Payment to P. Locas on account of work on brick walls, etc., $500. 
Sorel: Alterations for Unemployment Insurance Commission, A. Gratton Enrg., contract 

complete, $6,995, extra work, $150. 
Trois Rivieres: Payment of $2,720 to R. Lapointe for painting basement and ground floor 

of the Public Building, in addition to $4,085.55 paid him in 1940-41 for repairing and 

painting second and third stories. 
Hespeler, Ont.: Commuted rates paid to Corporation for construction of sewer, $204.45. 
Ottawa', Dominion Bureau of Statistics : Re-arrangement of sewers, $2,286.01 ; insulating 

heating mains, $903; 5 fans installed, $475. 
Ottawa, Elgin St. expropriation: Legal services, Berger & Greenberg, $594; J. P. Madden, 

$311.05; J. A. Robertson, $1,179.80; R. J. Sims, $328.60; valuators, W. H. Bosley & Co., $700, 

expenses, $162.87; Farley & Cassels, $3,500, less $1,750 paid in 1940-41; W. E. Noffke, 

$1,030; C. W. Ross, $3,500, less $1,750 paid in 1940-41; right of way, $175; taxes on rented 

properties, $611.88 (see Exchequer Court Awards). 



DEPARTMENT OF PUBLIC WORKS 319 

pttawa, Experimental Farm: Centrifugal pump, $985 (other expenditures are chanced to 

Votes 259 and 272). 
Ottawa, National Research Council: G. A. Crain & Sons, contract complete for new fan 

rooms, $9,187; screen guards for basement windows, $2,408. 
Pttawa, Xew Supreme Court and grounds: $3,533.77 paid the Federal District Commission 

for levelling and sodding grounds and $1,175 spent for shelving in basement (other 

expenditures for (his building arc charged to Vote 316). 
Ottawa, Parliament Building: $2,933 for repairing frames of Speakers' portraits, etc.; $1,024 

for repairing 9 chesterfields and 5 chairs; $2,248 for copper piping and $210 for pedestal'for 

bust of Lord Grey. 
Ottawa, Rideau Hall: R. Taylor & Son were paid $8,590.50 on account of $13,300 contract 

for repairs and additional story to cloak room (other expenditures for this building are 

charged to Vote 259). 
Ottawa, Victoria Museum: $3,723 for wcathcrstripping windows and $2,199.53 for 3 electric 

transformers. 
Ottawa, Wellington St. expropriation: Legal services, Aylen & Maclaren, $428.65; Clark, 

Robertson, MacDonald & Connolly, $158.30; R. M. Dick, $250; Honeywell, McDougall & 

Wotherspoon, $361.85; A. H. LiefT, $308.40; Low & McKenna, $418.15; J. T. Richards, $666.20; 

valuators, Farley & Cassels, $4,300 and $375 for court attendance, less $3,000 already paid; 

A. J. Hazelgrove, $200; J. B. Roper & H. J. Morin, $100; C. W. Ross, $4,300 and $400 for 

court attendance, less $3,000 already paid; S. W. Shier, $250, expenses, $108.50; taxes for 

rented properties, $2,407.38 (see Exchequer Court Awards). 
Pembroke: Progress payments of $6,612.30 on $9,349.54 contract for alterations and addition 

to building paid to Estate of W. Beatty. 
Port Arthur Customs: $1,006.11 paid on account of $1,693 contract for repairs due to recent 

fire. 
Toronto Postal Station "A": New lighting panels and circuits for sorting cases, $1,042.18. 
plegina, Post Office: Work done to date on $4,775 contract for interior decorating, W R 

Talbot & Co., $3,095.20. 
Vancouver, Examining Warehouse: Mastic flooring, etc., $2,070.60. 

Vote 275 Veterans' Hospitals, Repairs, Improvements and Alterations . . 60,000 00 
Expenditures 55,516 91 



Lapsed $ 4,483 03 



Comments on Expenditures 

General repairs and improvements to hospitals were as follows:— Halifax, $2,702.50; 
Saint John, $6,372.90; Ste. Anne de Bellevue, $20,334.65; London, $13,454.70; Toronto, 
$2,217.50; Manitoba, $9,728.01; British Columbia, $706.71. 

At Ste. Anne de Bellevue, J. B. D'Aoust was paid $9,241. 

Other expenditures for Veterans' Hospitals were charged to Vote 260 as follows:— 
Furniture, $179.35; heat, $1,448.91; sundries. $80.60; water. $400. 

/ 

CHIEF ENGINEER'S BRANCH 

Vote 276 Branch Administration 189,570 00 

Expenditures 176,591 87 



Lapsed $ 12,978 13 



A Salaries 

B Printing and Stationery 

C Travelling Expenses ... 

D Sundries 



Estimates 


Allotments 




details 


authorized 


Expenditures 


163.070 00 


163,070 00 


158,753 61 


7,500 00 


7,500 00 


4,992 96 


7,000 00 


7,000 00 


3,115 54 


12,000 00 


12,000 00 


9,729 76 



$ 189,570 00 $ 189,570 00 $ 176,591 87 



320 AUDITOR GENERAL'S REPORT 

Comments on Expenditures 

A As of March 31, 1942, there were 70 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date: — K, M. Cameron, Chief Engineer, 
$9,000; H. Bance, $3,720; R. Blais, $4,500; E. J. Brousseau, $2,700; W. W. Burrows, $2,460; 
R. deB. Corriveau, $5,700; H. M. Davy, $3,720; L. V. Denis, $3,720; H. J. Dunne, $2,700; 
W. D. Girard, $2,580; F. G. Goodspeed, $5,100; M. Laframboise, $2,400; A. K. Light, 
$3,300; J. W. Lucas, $2,580; G. E. Martin, $4,980; W. C. Milne, $2,700; A. T. Mineau, 
$3,120; A. P. O'Meara, $2,700; F. L. Pilgrim, $2,400; J. H. Ridgway, $3,120; R. C. Rous, 
$2,880; F. G. Smith, $4,200; G. H. Thurber, $3,360; E. Viens ; $4,320. 

C Travel of officers who spent over $300 was as follows: K. M. Cameron, $758.39; B. Car- 
wardine, $476.25; F. G. Goodspeed, $570.32. 

D Included photographic work, $2,332.85; telegrams, $2,034.73; telephone charges, $1,911.89; 
expenses in connection with the cement testing laboratory, $2,872.02. 

Vote 277 Engineering, including salaries of Engineers, Clerks, etc 490,390 00 

Expenditures 434,672 67 

Lapsed $ 55,717 33 



Estimates 
details 

A Salaries 356,990 00 


Allotments 
authorized 

356,990 00 
68,900 00 

12,500 00 
12,000 00 
40.000 00 


Expenditures 
337,362 13 


B Surveys and Inspections 70.000 00 


45,723 53 


C Operation and Maintenance of Inspection 

Boats 11,400 00 

D Printing and Stationery 12.000 00 


12,092 24 
6,716 81 


E Sundries 40,000 00 


32,777 96 






$ 490,390 00 


$ 490,390 00 ' 


$ 434,672 67 



Comments on Expenditures 

A As of March 31, 1942, there were 145 employees paid from this vote. ' The following 
were receiving annual salaries of $2,400 or over on that date or at date of separation 
(shown in brackets): J. A. Adam, $2,700; L. M. Allison, $2,700; A. Anderson, $2,700 
G. B. Anderson, $2,940; E. H. V. Barwood. $2,700; H. F. Bennett, $4,620; J. L. Bisson 
$4,440; J. E. Bonaventure, $4,080; J. W. Boughner, $3,180; J. P. S. Bourgoing, $2,700 
G. P. Brophy, $2,700; G. M. Brown, $3,900; L. Brunet, $3,300; G. H. Burbidge, $3,300 
U. L. J. Chopin, $2,700; G. T. Clarke, $2,700; W. F. Coutlee, $2,580; O. S. Cox, $4,620 
A. R. Crookshank, $2,700; A. R. Decary, $5,100; P. E. Doncaster, $4,620 (on loan to 
Department of Munitions and Supply from Mar. 1) ; L. B. Elliott, $3,300; C. F. P. Faulkner, 
$2,460; J. R. Freeman, $3,300; J. E. Gagnon, $3,300; E. V. Gilbert, $2,460 (on loan to 
British Admiralty Technical Mission from Sept. 11) ; J. T. F. Girard, $2,700; B. Grandmont, 
$4,440; A. W. Gregory, $3,060; A. Halkett, $2,700; G. L. Hall, $2,700; C. E. Hawke, $2,580 
R. P. Henderson, $2,700; C. C. Jeffery, $3,300; W. J. Johnston, $3,300; W. E. Keyt, $3,060 
A. M. Kirkpatrick, $4,440; R. A. Laferriere, $2,700; H. J. Lamb, $5,100 (Dec. 6) 
J. B. Lambert, $2,700; M. Lamoureux, $2,460 (June 2); J. A. Laniel, $3,300; H. R. Logie 
$2,700; A. MacGillivray, $2,700; C. H. Mathewson, $2,580; C. D. McAllister, $2,820 
D. H. McDonald, $3,300; L. G. McLaren, $2,460; J. F. Mellish, $2,700; H. E. Miller, $3,600 
• F. O. Mills, $2,700; G. P. Morse, $3,300; K. W. Morton, $4,080; P. D. Mosher, $2,700 
R. H. Nicholson, $2,700; J. K. Partridge, $3,300; A. Piche, $2,700; W. D. Prior, $2,700 
L. D. B. Roy, $2,700; A. A. St. Laurent, $3,300; G. E. Smith, $2,700; P. H. Smith, $2,700 
A. G. Tapley, $3,300; L. G. Trudeau, $4,620; J. P. Valiquet, $3,300; J. A. Vermette, $3,300 
(Oct. '10); J. M. Wilson, $4,620. 

B Includes travel of engineers, $39,816.18, and surveys, etc., of various harbour works, 
$5,907.35. Engineers whose travelling expenses amounted to $300 or over were: J. A. Adam, 
$883.45; L. M. Allison, $653.09; A. Anderson, $394.55; G. B. Anderson, $1,106.32; J. H. 
Beauchemin, $1,077.65; H. F. Bennett, $1,219.04; W. H. Betts, $1,066.93; J. L. Bisson, 
$821.91; J. E. Bonaventure, $417.87; J. W. Boughner, $640.45; G. M. Brown, $1,001.28; 



DEPARTMENT OF PUBLIC WORKS 321 

L. S. Brunet, $486; G. T. Clarke, $856.22; O. S. Cox, $318.85; A. R. Deeary, $871.35; E. J. 
Egan, $359.93; L. B. Elliott, $467.15; J. R. Freeman, $737.76; J. E. Gagnon, S163.65; 
B. Grandmont, SSS6.52; L. Hall, $625.09; C. E. Hawke, $336.15; R. P. Henderson, $413.67; 
A. F. Hertel. S383.5S; C. C. JerTery, $552.59; J. R. Joncas. $586.28; W. E. Kevt, $376.17; 
G. Lamoureux, SS73.57; J. A. Laniel, $614.32; N. Latra verse, $328.32; H. P. Lingley, 
$935.38; C. D. McAllister, $370.50; L. McLaren, $500.81 ; P. Marion, $325.99; C. H. Mathew- 
son, $705.28; J. F. Mellish, $470.91; H. E. Miller, $681.79; G. P. Morse, $348.70; K. W. 
Morton. $1,497.55; P. D. Mosher, $642.08; F. A. Patriqueen, $920.29; A. Piche, $674.56; 
W. D. Prior, $768.38; J. B. Saint, $308.35; A. A. St. Laurent. $352.72; G. E. Smith, 
$593.40; R. D. Thexton, $1,058.69; G. H. Thurber, $550.77; L. G. Trudeau, $600.36; 
J. P. Valiquette, $620.46; J. M. Vogin, $590.23; J. M. Wilson, $1,061.35; A. R. Wood, $530.40. 

C Expenditures were as follows: Launch D.P.W., wages. $1,207.31, operation, $956.07; Marion, 
wages, 81,207.50, operation and repairs, $1,792.02; Walronda, wages, $4,664.03, operation, 
$2,265.31. 

D. E. Male, launchman on Marion and caretaker of plant, occupied living quarters valued 
at $12 a month. 

E Includes office expenses, communications, upkeep of cars, etc. Test borings cost $18,510.45 
of which $733.81 was refunded for work done for other departments and private com- 
panies. Officers whose travelling expenses amounted to over $300 were: H. M. Davy, 
$1,180.81; F. J. Fitzgerald, $1,086.83; M. E. Labelle. $807.04; J. E. Leblanc, $1,144.53; 
J. A. Villandre, $701.03. 

Audit Note 
Over-payments to two employees amounting to $187.75 have not been recovered. 

Vote 278 Dredging, General Superintendence 9,275 00 

Expenditures 7,975 26 



Lapsed $ 1,299 74 



Estimates Allotments 

details authorized Expenditures 



A Salaries 7,275 00 7,425 00 7,420 56 

B Printing, Stationery, Travelling Expenses 

and Sundries '. . . 2,000 00 1,850 00 554 70 



9,275 00 $ 9,275 00 $ 7,975 26 



Comments on -Expenditures 

A As of March 31, 1942, there were three employees. B. Carwardine was paid at the rate 

of $3,900. 
B The expenditures were as follows: postage, $3.40; telephone tolls, $442.75; travelling 

expenses, $108.55. 

Vote 279 Dredging, Maritime Provinces 349,700 00 

Expenditures 235,838 72 

Lapsed $ 113,861 28 

Estimates Allotments 

details authorized Expenditures 

A Salaries 111,885 00 101,885 00 76,068 45 

B Maintenance and Operation 198,505 00 183.505 00 120,825 39 

C Contract and day labour works, inspection 

and contingencies, and to supplement 

above allotments 39,310 00 64,310 00 38,944 88 



$ 349.700 00 $ 349,700 00 $ 235,838 T< 

59727—22 



322 AUDITOR GENERAL'S REPORT 

Comments on Expenditures 

A As of March 31, 1942, there were 6 employees. The following were paid at the rate of 
$2,400 or over at that date: E. H. Anderson. $2,520; H. D. Gillis. $3,000; D. H. MacQuarrie, 
$3,600; J. T. Nickerson, $2,520. 

The wages paid to the captains and crews of the departmental dredging fleet of thirteen 
dredges and three tugs amounted to $61,094.69. 

B Operation and maintenance costs included board of crews, $8,381.73, coal, $14,190.24, 
towage, $11,231, repairs and replacements, $65,826.85. The following firms were paid over 
$5,000: Branch & Co., $5,292.53; Northern Machine Works, $7,177.49; Pictou Foundry and 
Machine Co., $6,147.33; Port Hawkesbury Marine Railway, $12,348.75; Bruce Stewart Co., 
$8,372.79; Sydney Foundry and Machine Works, $5,633.85; H. P. Weeks, $8,195. 

Officials who received travelling expenses of over $300 were: H. D. Gillis, $1,214.30; 
H. D. MacQuarrie, $959.39; J. T. Nickerson, $868.14, 

C Work was done by day labour at 16 places at a cost of $9,550.15. 

At Lloyd's Cove, N.S., the Beacon Dredging Co. received $12,514.60 for dredging break- 
water, inspection was $121 and other costs $59.77. 

At Campbellton, N.B., F. Michaud received $9,663.03 for dredging deep water wharf and 
$982.87 for dredging ferry slip, inspection was $805.27 and other costs $108.08. 

A gratuity of $249.05 was paid the widow of a deceased employee. 



Vote 280 Dredging, Ontario and Quebec 259,300 00 



Vote 315 To supplement on approval of Treasury Board except where 
less than $200 is required, any of the appropriations of 
the Department of Public Works, $100,000; transfer. . . . 8,321 85 



Expenditures $ 267,621 85 



Estimates Allotments 

details authorized Expenditures 



A Salaries 66,234 00 60,076 06 60,076 06 

B Maintenance and Operation 70.730 00 72,250 20 72,250 20 

C Contract and day labour work, inspection 

and contingencies, and to supplement 

above allotments 122,336 00 135,295 59 135,295 59 



$ 259,300 00 $ 267,621 85 $ 267.621 85 



Comments on Expenditures 

A As of March 31, 1942, there were 3 employees. J. H. Beauchemin was paid at the rate of 
$2,700 and L. P. Larochelle, $3,000. 

Captain and crews on the seven dredges and two tugs of the fleet received $53,435.50. 

B Includes board of crews, $8,353.25; coal, $17,665.96; moorage, $2,387; repairs, $15,405.76; 
towage, $5,374.25; travelling expenses of L. P. Larochelle, $773.31. The following firms 
.received over $5,000: F. X. Dion, $5,093.07; Morton Engineering & Dry Dock Co., $6,054.39; 
Saillant & Fils, $5,393.37. The Harricana River dredging plant was dismantled and shipped 
to Manitoba for storage. 

C Chatham Dredging & General Contracting Co. Ltd., was paid $2,264.76 on account, for 
dredging at Rondeau. C. S. Boone Dredging & Construction Co. received for dredging 
at Oshawa, $18,484.98, at Port Hope, $11,041.83, and at Whitby, $5,517.14. McNamara 
Construction Co. received $19,589.63 for dredging Cobourg harbour entrance and 
SI 4,415.14 for dredging Toronto Eastern channel. J. P. Porter & Sons were paid $14,161.89 
for widening channel approach to wharf of the Steel Co. of Canada, at Hamilton. 
Work was done by day labour at several places. 



DEPARTMENT OF PUBLIC WORKS 
Vote 281 Dredging, Manitoba, Saskatchcivan and Alberta . . . 



323 
52,400 00 



Vote 315 To supplement on approval of Treasury Board except where 
less than $200 is required, any of the appropriations of the 
Department of Public Works, $100,000; transfer 2,362 09 

Expenditures $ 54,762 09 

Estimates Allotments 

details authored Expenditures 

A Salaries 24,806 00 29,083 97 29,083 97 

B Maintenance and Operation 23,183 00 25,678 12 25,678 12 

C Contract and day labour works, inspection 
and contingencies, and to supple- 
ment above allotments 4,411 00 

$ 52,400 00 $ 54,762 09 $ 54,762 09 



Comments on Expenditures 

A Aa of March 31, 1942, there were 3 employees. J. F. Cunningham was paid at the rate 
of $3,000. The captains and crews of three dredges and three tugs received $21,977.92. 

B Includes board and provisions, $3,617.85; coal, $7,641.15; expenses of Selkirk Shipyard, 
$7,736.76. 



Vote 282 Dredging, British Columbia 190,000 00 



Vote 512 Dredging, British Columbia — Further amount required 



Expenditures 
Lapsed 



5,000 00 

195,000 00 
185,164 66 

$ 9,835 34 



Estimates 
details 

A Salaries 61,560 00 

B Maintenance and Operation 105,580 00 

C Contract and day labour, inspection and con- 
tingencies, and to supplement above 
allotments 22.860 00 



Allotments 
authorized 

65,280 00 
103,070 00 



26,650 00 



Expenditures 

65,094 75 
94,346 78 



25,723 13 



$ 190,040 00 $ 195.000 00 $ 185,164 66 



Comments on Expenditures 

A Wages of captains and crews of five dredges with attending tugs and launches amounted 
to $63,739.47. 

B Maintenance and operation charges include: Board, $13,508.75; fuel, $23,159.67; ordinary 
repairs, $16,711.05. British Columbia Marine Engineers and Shipbuilders, Ltd., received 
SI 2. 90 1.37 for repairs to Dredge Fruhling and S602.52 for other work. Burrard Dry Dock Co. 
received $10,880.59 for repairs to Dredge King Edward and $1,621.65 for sundry work on 
Dredge Mastodon. Other firms receiving over $5,000 wore : Home Oil Distributors, 
$11,244.10; Union Oil Co. of Canada, $9,700.66. 

C Improvements to the Dease and Liard Rivers amounted to $6,373.60, and to the Stikine 
River, $6,015.39. 
59727— 22 J 



324 AUDITOR GENERAL'S REPORT 

Vote 283 Maintenance and Operation of Champlain Graving Dock .... 61,380 00 
Expenditures 58,539 50 



Lapsed $ 2,840 50 



Estimates Allotments 

details authorized Expenditures 

A Salaries 28,160 00 28,160 00 28,039 71 

B Maintenance and Supplies 15,000 00 15,800 00 15,759 18 

C Electric Power, Repairs and Sundries 18,220 00 17,420 00 14,740 61 



$ 61,380 00 $ 61,380 00 $ 58,539 50 



Comments on Expenditures 

A As of March 31, 1942, there were 18 employees paid from this vote. Of these half the 
salaries of 7 employees were charged to Vote 285. The following was receiving an annual 
salary of $2,400 or over at date of separation (shown in brackets) : E. Vezina, $2,880, and 
house valued at $360 (Jan. 2). 

B Paquet & Fils received $14,459.86 for coal. 



Vote 284 Maintenance and operation of Esquimalt Graving Dock. . . . 70,630 00 

Expenditures 69,596 13 

Lapsed $ 1,033 87 

Estimates Allotments 

details authorized Expenditures 

A Salaries 33,606 00 33,456 00 32,425 02 

B Electric Power 27,500 00 27,500 00 27,500 00 

C Materials and Supplies, Repairs and Sundries 9,524 00 9,674 00 9,671 11 

$ 70,630 00 $ 70,630 00 $ 69,596 13 



Comments on Expenditures 

A As of March 31, 1942, there were 20 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date, or date of separation (shown in 
brackets): A. Craig, $2,460; O. R. Parker, $2,520 (July 27). Each was supplied with a 
house, light and heat valued at $627.84 a year. 

Vote 285 Maintenance and Operation of Lome Graving Dock 31,740 00 

Expenditures 30,773 84 



Lapsed $ 966 16 



Estimates Allotments 

details authorized Expenditures 

A Salaries 23,300 00 23,300 00 22,750 28 

B Materials and Supplies 5,440 00 5,440 00 5,061 91 

C Electric Power, Repairs and Sundries 3,000 00 3,000 00 2,961 65 



$ 31,740 00 $ 31,740 00 $ 30,773 84 



Comments on Expenditures 

A As of March 31, 1942, there were 15 employees paid from this vote. Of these, half the 

salaries of 7 employees were charged to Vote 283. 
B Coal to the value of $2,901.46 was supplied by Paquet & Fils. 



DEPARTMENT OF PUBLIC WORKS 325 

Vote 286 Maintenance and Operation of Selkirk Repair Slip 3,800 00 

Expenditures 3,703 73 



Lapsed $ 96 27 



Estimates Allotments 

details authorized Expenditures 

A Salaries 700 00 700 00 639 46 

B Materials and Supplies, Electric Power and 

Sundries 1,150 00 1,150 00 1,122 29 

C Maintenance and Repairs 1,950 00 1,950 00 1,94198 



3,800 00 $ 3,800 00 $ 3,703 73 



Vote 287 Maintenance and Operation of Locks and Dams 49,174 00 

Expenditures 46,504 89 



Lapsed $ 2,669 11 



Estimates Allotments 

details authorized Expenditures 

A Salaries 30,662 00 32,104 00 31,286 86 

B Materials and Supplies, Electric Power and 

Sundries 5,727 00 5,727 00 5,195 67 

C Maintenance and Repairs 12,785 00 11,343 00 10,022 36 



$ 49,174 00 $ 49,174 00 $ 46,504 89 



Comments on Expenditures 

A As of March 31, 1942, there were 19 employees paid from this vote. N. Ross was paid 
at the rate of $2,280 and occupied a house valued at $300 a year. 
Casual assistance cost $3,723.94. 

B C Materials Maintenance 

and supplies and repairs 

Cowan Dam, Sask 312 65 

French River Dams, Ont 410 04 250 10 

Fryer's Island Dam, Que 416 65 367 86 

Latchford Dam, Ont 233 13 573 53 

Okanagan Control Dam, B.C 1 00 

Quinze Dam, Ont 729 99 852 74 

Riviere du Lievre, Lock and Dam, Que 160 14 410 52 

St. Andrews Rapids, Lock and Dam, Man 2,429 43 5,288 30 

Temiskaming Dam, Ont 816 29 1,965 66 

$ 5,195 67 $ 10,022 36 



i 



Audit Note 

Salary was paid to one employee whose employment was not authorized in accordance 
with the regulations. 



Vote 288 Maintenance and Operation of Snagboats 41,600 00 

Expenditures 38,471 62 

Lapsed $ 3,128 38 



326 AUDITOR GENERAL'S REPORT 

Estimates Allotments 

details authorized Expenditures 

A Samson : Wages of Crew 14,640 00 15,490 00 15,473 54 

B Maintenance and Operation 11,960 00 11,960 00 10,799 11 

A Essington: Wages of Crew 8,215 00 7,365 00 6,919 08 

B Maintenance and Operation... 6,785 00 6,785 00 5,279 89 

$ 41,600 00 $ 41,600 00 $ 38,471 62 

Comments on Expenditures 

A Captain of the Samson was paid $2,160 and the engineer, $2,150. The expenses of the 

Essington from April to September only were charged to this vote. 
B Samson :— Board of crew, $3,650.85; coal, $254.63; fuel oil, $2,247.01; repairs, sundries, etc., 

$4,646.62. 
Essington:— Board of crew, $2,111.05; fuel oil, $1,225.16; sundries, etc., $1,943.68. 

Vote 289 Maintenance and Operation of Burlington Channel Bridge. . 14,700 00 
Expenditures 12,847 20 

Lapsed $ 1,852 80 

Estimates Allotments 

details authorized Expenditures 

A Salaries 10,655 00 11,605 00 10.145 03 

B Operation, -Maintenance and Supplies 4,045 00 3,095 00 2,702 17 

$ 14,700 00 $ 14,700 00 $ 12,847 20 

Comments on Expenditures 

A There were 4 employees paid from this vote. 
B flectric power cost $2,242.14. 

Vote 290 Maintenance and Operation of LaSalle Causeway, Kingston. . 15,429 00 
Expenditures 14,827 94 

Lapsed $ 601 06 

Estimates Allotments 

details authorized Expenditures 

A Salaries 6,009 00 6,334 00 6,236 07 

B Operation, Maintenance and Supplies .... 9,420 00 9,095 00 8,591 87 

$ 15,429 00 $ 15,429 00 $ 14,827 94 

Comments on Expenditures 

A There were 4 employees paid from this vote. Casual labour amounted to $363.45. 
B This includes electric power, $1,619.50, and repairs, etc., $6,972.37 of which $1,991.75 is to be 
repaid by Smith Transport Co. for damages caused by one of their trucks. 

Vote 291 Maintenance and Operation of the New Westminster Bridge 48,174 00 
Expenditures nil 

Lapsed $ 48,174 00 

Cost of maintenance and operation of the bridge for 1941-42 was $45,017.49, of which 
$18,586.27 was paid in salaries and $26,431.22 for maintenance and repairs. 



DEPARTMENT OF PUBLIC WORKS 



327 



Revenues collected for use of bridge totalled $85,860.99, as follows: British Columbia 
Electric Railway, $13,898.65; Canadian National Railways, $45,800.48; Great Northern 
Railway, $26,161.86. 

Revenues and expenditures have been transferred to the Trust Account, "Fraser River 
Bridge at New Westminster". 



Vote 292 Maintenance and Operation of Ottawa Bridges and Approaches 



7,900 00 



Vote 315 To supplement on approval of Treasury Board except where 
less than $200 is required, any of the appropriations of 

the Department of Public Works, $100,000, transfer .... 58 45 

Expenditures $ 7,958 45 

Labour and material for painting and repairs amounted to $7,958.45. 

Vote 293 Maintenance and Operation of Roatls and Bridges, Generally 19,500 00 

Expenditures 16,043 54 

Lapsed $ 3,456 46 

Estimates Allotments 

details authorized Expenditures 

A Wages 720 00 780 00 772 80 

B Maintenance and Repairs 18,780 00 18,720 00 15,270 74 

$ 19,500 00 $ 19,500 00 $ 16,043 54 



Comments on Expenditures 

Expenditures were: Bryson, Que., $3,034.69; Chapeau, Que., $2,777.25; Clair, N.B., 
$1,022.93; North Temiskaming, Ont., $3,394.87; Perley Bridge, Hawkesbury, Ont., $3,845.46; 
seven lesser works, $1,968.34. 



Dry Dock Subsidies, c. 191, R.S $ 541,970 88 



Burrard Dry Dock, North Vancouver 112,500 00 

Montreal Floating Dock 105,000 00 

Prince Rupert Floating Dock 76,970 88 

Saint John Dry Dock 247,500 00 



$ 541,970 88 



Comments on Expenditures 

A Subsidy, authorized by c. 27, 1917, is 4h per cent of a cost of $2,500,000, for a period of 

35 years. Payments made semi-annual^ will not be completed until 1960. $2,381.86 of the 

subsidy is deposited each year to the credit of the Receiver General in an Open Account, 

to provide for the renewal of pontoons. 
B Twenty-eighth annual subsidy payment, authorized by c. 17, 1910, 

83,000,000 cost, for a period of 35 years. 
C Twenty-third annual subsidy payment, authorized by c. 17, 1910, 

$2,199,168.02 cost, for a period of 25 years. 
D Subsidy authorized by c. 27, 1917, is 4i per cent on a cost of $5,500,000 for a period of 35 

years. Payments, made semi-annually, will not be completed until 1959. 

The Act of 1910 and the amending Act of 1917 are consolidated in the Dry Docks 

Subsidies Act, c. 191, R.S. 



is 3V per cent of 
is 31 per cent of 



328 AUDITOR GENERAL'S REPORT 

Payments of subsidies are based on a certificate of the Chief Engineer of the Depart- 
ment that the dock has been kept in a constant state of efficiency, that no discrimination 
has been used against any vessel wishing to use the dock and that the rates charged have 
not exceeded the rates agreed upon between the Department and the dry dock management. 



Vote 294 Construction, Repairs and Improvements, Harbours and 
Rivers, Nova Scotia, Generally, Maintenance of Services, 

no new works to be undertaken 225,000 00 

Expenditures 175,238 90 

Lapsed $ 49,761 10 



Comments on Expenditures 

Repairs and improvements were made at 148 places, including repairs to wharf and pier 
at Bay St. Lawrence, $8,425.40; breakwater at Charlos Cove, $5,655.93; wharf and pier at 
Digby, $6,633.06; wharf and shed at Hantsport, $6,543.75; wharf at Lunenburg, $5,023.34; wharf 
at Parrsboro, $6,242.48; wharves at Pictou, $10,316.43. At Dingwall, Pictou, Port Philip and 
Skinners Cove, materials valued at $2,535.12 were used from stock at Truro and closed out 
contracts at Bay St. Lawrence and Charlottetown 



Vote 505 Construction, Repairs and Improvements, Harbours and Rivers, 

Nova Scotia: Dingwall — Improvements 83,300 00 

Expenditures 6,905 57 

Lapsed $ 76,394 43 



Comments on Expenditures 

Work was done by department: labour amounted to $4,501.90 and materials $2,403.67. 



Vote 295 Construction, Repairs and Improvements, Harbours and Rivers, 
Prince Edward Island, Generally, Maintenance of Services, 
no new works to be undertaken 55,000 00 



Vote 507 Further amount required 45,000 00 

100,000 00 
Expenditures 29,382 91 

Lapsed $ 70,617 09 



Comments on Expenditures 

Repairs and improvements were made at 29 places. At Charlottetown $5,588.77 was 
spent. 

• Materials valued at $1,934.50 from closed contract at Charlottetown were used on 
other works. 



Vote 506 Construction, Repairs and Improvements, Harbours and Rivers, 

Prince Edward Island: Souris — Breakwater repairs 29,000 00 

Expenditures 74 54 

Lapsed $ 28,925 46 






DEPARTMENT OF PUBLIC WORKS 329 

Vote 296 Construction, Repairs and Improvements, Harbours and Rivers, 
New Brunswick, Generally, Maintenance of Services, no 

new ivorks to be undertaken 80,000 00 

Expenditures 70,220 39 

Lapsed $ 9,779 61 



Comments on Expenditures 

Repairs and improvements were made at 86 places, including repairs to wharf at 
Cocagne, $10,952.55 and North Head, $5,101.35. Repairs to breakwater structures and 
wharves at Richibucto cost $5,134.08 and repairs to harbour works and wharf at Shippigan, 
$6,802.66. Materials to the value of $3,684.98 from closed contracts were used at fifteen of 
these works. • 

Simon Daigle and Denis Le Blanc completed a new approach to wharf at Cocagne for a 
contract price of $6,805.34. 



Vote 508 Construction, Repairs and Improvements, Harbours and Rivers, 

New Brunswick: Burnt Church wharf repairs 18,000 00 

Expenditures . . 13,867 34 

Lapsed $ 4,132 66 



Comments on Expenditures 

Diamond Construction Co. Ltd. completed contract for repairs of the wharf, $13,530.35. 



Vote 297 Construction, Repairs and Improvements, Harbours and Rivers. 
Quebec, Generally, Maintenance of Services, no new works 

to be undertaken 250,000 00 

Expenditures 190,845 31 

Lapsed $ 59,154 69 



Comments on Expenditures 

Repairs and improvements were made at 135 points. Places where expenditures exceeded 
S5,000 were as follows: Baie Comeau, $14,506.98; Desjardins, $8,856.32; New Carlisle, 
$12,482.09; Paspebiac, $23,010.23; Rimouski. $9,365.95; Riviere au Renaud, $5,261.84; Riviere 
du Loup, $13,725.45; St. Jean, I.O., $7,686.82; Sorel, $5,643.29; Tadoussac, $5,193.18. 

At Baie Comeau, North Shore Construction Co. Ltd. completed a contract of $13,200 for 
placing stone. The Quebec North Shore Power Company contributed $4,548.54 as their 
share of this work. 

Materials to the value of $4,813.42 from closed out contracts were used at twenty-four of 
these works. 

Lucien Lachapelle was paid $8,095.49. 



Vote 509 Construction, Repairs and Improvements, Harbours and Rivers, 

Quebec — Richelieu River (Chambly Basin) — Dredging 17,900 00 

Expenditures 3,065 98 

Lapsed $ 14,834 02 



Comments on Expenditures 

Southern Working Limited was paid $1,524.60 on a dredging contract of $9,518.78. 



330 AUDITOR GENERAL'S REPORT 

Vote 298 Construction, Repairs and Improvements, Harbours and Rivers, 
Ontario, Generally, Maintenance of Services, no new works 

to be undertaken 130,000 00 

Grand River — Agreed contributions to improvements 118,000 00 

Port Colborne, Breakwater Repairs 26,750 00 

Vote 510 Grand River — Agreed contributions to improvements — 

Further amount required 50,000 00 

Hamilton, Maintenance Dredging 50,600 00 



375,350 00 
Expenditures 312,057 57 



Lapsed $ 63,292 43 



Allotments Expenditures 

A Grand River— Agreed contributions to improvements 168,000 00 158,276 55 

B Hamilton, Maintenance dredging 50,600 00 49,730 22 

C Port Colborne, Breakwater repairs 26,750 00 5,041 83 

D Maintenance of services, no new works to be undertaken.. 130,000 00 99,008 97 



$ 375,350 00 $ 312,057 5^ 



Comments on Expenditures 

A Contributions to the Grand River Conservation Commission represent 37-5 per cent 

of the cost of the conservation work. Total contributions to March 31, 1942, are $644,993.23. 
B Dredging was completed under contract by J. P. Porter & Sons, Ltd., at a cost of 

$48,912.61. 
C Labour cost $2,571.87, materials, etc., $2,469.96. 
D Detroit River Construction, Limited, completed contracts for wharf at Leamington, 

$3,511.49, and reconstruction of south pier breakwater at Toronto, $9,460.51. 

Frid Construction Company, Limited, completed their contract for reconstruction of 

east pier at Oakville, $13,985.11. 

Repairs and improvements were made at 78 places by day labour under departmental 

supervision the cost of which was $23,387.67 and materials, etc., $42,677.43. 

Vote 299 Construction, Repairs and Improvements, Harbours and Rivers, 
Manitoba, Generally, Maintenance of services, no new ivorks 

to be undertaken 20,000 00 

Expenditures 3,705 08 

Lapsed $ 16,294 92 

Comments on Expenditures 

Expenditures on nine repair works are summarized as follows: labour, $1,943.12; 
materials, etc., $1,761.96. 

Vote 300 Construction, Repairs and Improvements, Harbours and Rivers, 
Saskatchewan, Alberta and Northivest Territories, Generally, 
Maintenance of Services, no new ivorks to be undertaken . . 10,000 00 
Expnditures 1,341 35 

Lapsed $ 8 > 658 65 

Comments on Expenditures 

Repairs were made at seven places. Materials cost $943.60, labour, $397.75. 



DEPARTMENT OF PUBLIC WORKS 331 

Vote 301 Construction, Repairs and Improvements, Harbours and Rivers, 
British Columbia and Yukon Territory, Generally, Main- 
tenance of Services, no new works to be undertaken 90,000 00 



Vote 315 — To supplement on approval of Treasury Board, except where 
less than $200 is required, any of the appropriations of 
the Department of Public Works, transfer 875 00 

90,875 00 
Expenditures 83,428 92 

Lapsed $ 7,446 08 



Comments on Expenditures 

Repairs and improvements were made at 113 places including wharf renewal at Haney, 
$6,614.7S and Squamish, $11,638.54. Labour cost $18,783; contract work, $17,621.75; materials 
and supplies, etc., $47,024.17. 

William Greenlees completed contracts for wharf repairs at Haney, $6,338.60, and 
renewal of wharf head at Squamish, $11,283.15. 



Vote 511 Construction, Repairs and Improvements, Harbours and Rivers, 
British Columbia and Yukon: Zeballos — Extension to wharf 

and shed 3,300 00 

Expenditures 3,269 69 



Lapsed $ 30 31 



Comments on Expenditures 

Labour cost S94.70; materials, etc., $3,174.99. 



Vote 513 Protection Works Generally 200,000 00 

Expenditures 153,637 56 

Lapsed $ 46,362 44 



Comments on Expenditures 

The distribution of these expenditures by Provinces is as follows, the number of works 
in each province shown in brackets: 

Nova Scotia (2) 5,252 80 

New Brunswick (2) 988 62 

Quebec (27) 135,201 77 

Ontario (1) 2,330 56 

British Columbia (4) 9,863 81 

$ 153.637 56 



Expenditures over $5,000 were at Port Hood, N.S., $5,075.04; Bonaventure, Que., $5,926.68; 
Contrecoeur, $11,812.38; Les Eboulements, S6,643.S0; Matane, $7,304.33; Portneuf, $6,075.82; 
Ste. Felecite, $6,564.22; St. Simeon, $5,137.36; Sorel, $43,115.22; Canoe Pass, B.C., $8,000. 

Materials to the value of $1,348.4S from closed out contracts were used at six places in 
Quebec. 

The Corporation of Delta, B.C., was paid $8,000 as Federal Government share of shore 
protection work at Canoe Pass. 



332 



AUDITOR GENERAL'S REPORT 



Vote 514 To provide for balances required to complete any projects 
undertaken in previous fiscal years and for which no specific 

provision is made in the fiscal year 1941-42 30,000 00 

Expenditures 19,813 28 

Lapsed $ 10,186 72 



Comments on Expenditures 

Balances on completed contracts were paid at Lennoxville, Montreal Craig St. Armoury 
($250 still held) and Thurso. The following payments were made to architects: A. Belanger, 
balance Lennoxville, $19.75; G. S. Adamson, balance Bradford, Ont., $83.59; F. Page, claim 
for balance, Richmond Hill, $300 (P.C. 604 of Jan. 26, 1942) ; G. N. Evans, plans for proposed 
alterations, New Westminster Public Building, $886.83. Brennan & McDougall were paid 
$33.05 for legal services re Cornwall right of way. 

Expenditures at Rimouski, Que., covered costs of the appeal in Supreme Court of 
Paradis and Farley versus The King, consisting of legal fees, etc., $7,543.03, printing, $3,839.02, 
and travel, $21.55. Other expenditures in Quebec were at Fryer's Island, $834.73, St. Remi, 
$520.96 and Sorel, $841.05. 

A contribution of $1,889.72 authorized by P.C. 9659, Dec. 10, 1941, was made towards 
cost of drainage works on the South Maitland River and the Boyle Drainage System in 
Elma Township, Ont. 



TELEGRAPH BRANCH 



Vote 302 Branch Administration 
Expenditures 



27,120 00 
24,245 68 



Lapsed $ 2,874 32 



A Salaries 

B Printing and Stationery 

C Travelling Expenses . . 

D Sundries 



Estimates 
details 

23.320 00 
1,000 00 
1,300 00 
1,500 00 



Allotments 
authorized 

23,320 00 
1,000 00 
1,300 00 
1,500 00 



Expenditures 

22,661 51 
445 70 
453 35 
685 12 



$ 27.120 00 $ 27,120 00 $ 24,245 68 



Comments on Expenditures 

A As of March 31, 1942, there were 10 employees paid from this vote, 
were receiving annual salaries of $2,400 or over on that date: 
A. McDonald, $3,960; T. E. Orr, $2,400; F. G. Sims, $4,920. 

C Travelling expenses of $388.70 were paid to F. G. Sims, Superintendent of Telegraph 
Service. 



The following 
E. Bray, $3,120; 



Vote 303 Land and Cable Telegraph Lines, Lower St. Lawrence and 
Maritime Provinces, including working expenses of vessels 
for cable work 133,780 00 



Vote 315 To supplement, on approval of Treasury Board except where 
less than $200 is required, any of the appropriations of 
the Department of Public Works, $100,000; transfer 3,620 19 



Expenditures 



137,400 19 
$ 137,400 19 



DEPARTMENT OF PUBLIC WORKS 333 

Estimates Allotments 

details authorize* I Expenditures 

A Salaries and Commissions 75,978 00 74,983 49 74,983 49 

B Repairs 25,)Q00 00 28,05117 28,05117 

C Materials and Supplies 12,500 00 11,46168 11,46168 

D Subsidies 5.625 00 5,557 00 5,557 00 

E Sundries 14,677 00 17,346 85 17,346 85 



$ 133,780 00 $ 137,400 19 $ 137.400 19 



Comments on Expenditures 

A As of March 31, 1942, there were 191 employees paid from this vote. 

The following were receiving an annual salary of $2,400 or over on that date: G. A. 
Edwards, $3,000; G. E. Routhier, $3,000. 

Living quarters valued at $740 supplied the operators of three offices are not included 
in the expenditures. 
Commissions to agents amounted to $7,126.07. 
D Subsidies were paid to companies to enable them to maintain telephone communication 

in districts where the Government does not provide service. 
E Rents amounted to $3,902.96. Travel of G. A. Edwards cost $1,419.50. Maritime Tele- 
graph and Telephone Co. were paid $400 on account, the balance of attachments and 
rentals to be paid in 1942-43. 



Vote 304 Telegraph and Telephone Services. Operation and Main- 



tenance, Saskatchewar 


i and 


Alberta 




87,760 00 


Ex pen ditures 






86,389 87 












Lapsed .... 


$ 1,370 13 






Estimates 
details 

73.856 00 
13,904 00 


Allotments 
authorized 

74,856 00 
12,904 00 




A Salaries 


Expenditures 
74,650 71 


B Repairs. Supplies and Sundries . . . 




11,739 16 








$ 87,760 00 


S 87,760 00 


$ 86,389 87 



Comments on Expenditures 

A As of March 31, 1942, there were 48 employees paid from this vote. The following were 

receiving annual salaries of $2,400 or over on that date: P. R. Elmer, $2,400; J. D. Noel, 

$3,600. 

Agents on commission were paid $1,200.49. Living quarters valued at $4,140 were 

occupied by the operators of 14 offices and by two linemen and are not included in the 

expenditures. 
B Rents were $2,999.85. 



Vote 305 Telegraph and Telephone Services, Operation and Main- 
tenance, Division Superintemlent's office, Vancouver 11,800 00 



Vote 67 Salaries, reclassifications and increases; supplement 1,424 75 



13,224 75 
Expenditures ... 12,605 65 



Lapsed $ 619 10 



334 AUDITOR GENERAL'S REPORT 

Estimates Allotments 

details authorized Expenditures 

A Salaries 9,400 00 11,184 75 11,184 75 

Salaries Reclassifications, etc.: Supplement 1,424 75 
B Sundries 2,400 00 2,040 00 1,420 90 



$ 13,224 75 $ 13,224 75 $ 12,605 65 



Comments on Expenditures 

A As of March 31, 1942, there were 7 employees paid from this vote. R. G. Bishop was 
receiving salary of $3,480 on that date. 



Vote 306 Telegraph and Telephone Services, British Columbia, Northern 

and Yukon Districts 129,508 00 

Expenditures 117,969 00 

Lapsed $ 11,539 00 

Estimates Allotments 

details authorized Expenditures 

A Salaries, Commissions and Allowances .... 102. SOS 00 101,308 00 91,353 66 

B Repairs, Supplies and Sundries 26,700 00 28,200 00 26,615 34 

$ 129,508 00 $ 129,508 00 $ 117.969 00 



Comments on Expenditures 

A As of March 31, 1942, there were 55 employees paid from this vote. G. W. McKay was 
paid $1,800 salary and $1,200 allowance. 

Agents on commission received $2,139.99. Living quarters for 12 emplo3 T ees valued at 
$2,700 are not included in the expenditure. 

B Rents, Apr.-Feb., amounted to $3,156.13. 



Vote 307 Telegraph and Telephone Services, British Columbia, Vancou- 
ver Island District 94,510 00 



Vote 315 To supplement on approval of the Treasury Board except 
where less than $200 is required, any of the appropriations 
of the Department of Public Works, $100,000; transfer . . 6,726 06 

101,236 06 
Expenditures 101,221 06 

Lapsed $ 15 00 

Estimates Allotments 

details authorized Expenditures 

A Salaries 81,384 06 81,886 18 81,886 18 

B Pole, Line and Wire Rentals 4,800 00 4,509 20 4,509 20 

C Repairs, Supplies and Sundries 15,052 00 14,840 68 14,825 68 

$ 101,236 06 $ 101,236 06 $ 101,221 06 



DEPARTMENT OF PUBLIC WORKS 335 

Comments on Expenditures 

A As of March 31, 1942, there were 58 employees paid from this vote. 

Living quarters valued at $1,020 were supplied to 5 employees and are not included in 
these expenditures. 
C Rents, etc., cost $4,588.32. 

The Canadian National Telegraph and the Canadian Pacific Telegraph Co. paid 
$1,230.78 for proportion of cost of maintaining the North Vancouver office. 

Vote 308 Telegraph and Telephone Service, Operation and Main- 
tenance, Generally 5,000 00 

Expenditures 4,145 86 



Lapsed $ 854 14 



A subsidy of $2,000 was paid La Cie du Telephone du Nord for the operation of the 
Temiskaming line (P.C. 966 of Mar. 14, 1940). 

Vote 309 Telegraph Reconstruction, Repairs and Improvements Maritime 

Provinces and Lower St. Lawrence 12,000 00 

Expenditures 11,791 84 



Lapsed $ 208 16 



Vote 310 Telegraph Reconstruction, Repairs and Improvements, 

Saskatchewan and Alberta 12,000 00 

Expenditures 6,905 81 



Lapsed $ 5,094 19 



Vote 311 Telegraph Reconstruction, Repairs and Improvements, British 

Columbia Northern and Yukon Districts 17,000 00 



Vote 315 To supplement on approval of Treasury Board, except where 
less than $200 is required, any of the appropriations of 
the Department of Public Works, $100,000; transfer. . . . 422 73 



17,422 73 
Expenditures $ 17,422 73 



Vote 312 Telegraph Reconstruction, Repairs and Improvements, British 

Columbia, Vancouver Island District 9,000 00 

Expenditures 8,894 97 



Lapsed $ 105 03 



GENERAL 



Vote 313 National Gallery of Canada 43,720 00 

Expenditures 43,618 80 

Lapsed $ 101 20 



Estimates 
details 

30,705 00 

[ 


Allotments 
authorized 

27,661 90 


Expenditures 
27,661 90 


5,515 00 


6,015 00 




5,913 80 


7,500 00 


10,043 10 




10,043 10 


$ 43,720 00 


$ 43,720 00 


$ 


43,618 80 



336 AUDITOR GENERAL'S REPORT 



A Salaries 

B Art Exhibitions, Lectures and Educational 
Work - 

C Printing Reproductions, Catalogues, Station 
erv and Sundries 



Comments on Expenditures 

A As of March 31, 1942, there were 13 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date: H. O. McCurry, director, $6,000; 
G. J. Harbour, $2,880. 

The expenditures of the Gallery are governed by "An Act to incorporate the National 
Gallery of Canada", c. 33, 1913, and are controlled by a Board of three trustees who serve 
without remuneration and receive their reasonable travelling and other expenses. The 
moneys appropriated by Parliament for the work of the Board, or which the Board may 
receive by bequest, or in any other manner, are expended under the direction of the 
Board. 

An open account, maintained on the Dominion Ledgers, originated from gifts from the 
Carnegie Corporation of New York. The fund was inactive during the present fiscal year, 
there being no contributions to, or expenditures from it. 



Vote 314 Miscellaneous works not otherwise provided for, not more than 

$3,000 to be expended upon any one work 50,000 00 

Expenditures 26,376 88 

Lapsed $ 23,623 12 



Comments on Expenditures 

The distribution of these expenditures by Provinces is as follows, the number of works 
in each province shown in brackets: 

Nova Scotia (4) 2,843 25 

Prince Edward Island (3) . . 5,926 90 

New Brunswick (1) 1,19149 

Quebec (3) 6,265 53 

Ontario (4) 1,851 47 

Saskatchewan (1) 1,940 29 

British Columbia (4) 6,357 95 



$ 26,376 



Materials to the value of $754.20 from closed out contracts were used at Grand Entree, 
McFarlane's Cove and Red Head. 



Vote 315 To supplement on approval of Treasury Board except where 
less than $200 is required, any of the appropriations of the 
Department of Public Works, $100,000 less $21,550.72 

transferred 78,449 28 

Expenditures ni ' 

Lapsed $ 78,449 28 



DEPARTMENT OF PUBLIC WORKS 337 

Vote 68 Unforeseen Expenses, expenditure thereof to be subject to 
approval of Treasury Board ($80,000) allotted to Depart- 
ment of Public Works $ 100 00 



Comments on Expenditures 

Expenditure was $100 for popp}' wreath for Remembrance Day, 1941. 

Exchequer Court Awards, Exchequer Court Act c.34, R.S $732,588 26 

A Desjardins, Que., re accident to Mme Demers on wharf 1,149 49 

B Montreal, York Realty Building 65.498 16 

C Ottawa, Elgin St., expropriation 357,429 81 

D Ottawa, Wellington St. expropriation 308,510 SO 



$ 732,588 26 



Comments on Expenditures 

A Award paid to A. Demers, $745, interest March 24 to June 24, 1941, $9.39, taxed costs, 
$395.10. 

B Canada Life Assurance Co.: interim compensation for building, paid to holder of mort- 
gage. $64,856.46; interest, April 1-June 13, 1941, $591.70; taxed costs, $50. 

C Estate of J. Bishop, $11,500, taxed costs, $60; H. G. & C. Campbell, $71,000, interest, 
Sept. 1, 1940- Aug. 29, 1941, $3,520.82, taxed costs, $602.50; M. Franklin, $21,200. taxed costs, 
$60; Laurentian Club, Inc., $12,750, taxed costs, $75; Laurentian Realty Co., Ltd., $145,000, 
interest, Aug. 17, 1939 to Sept. 2, 1941, $14,817.80, taxed costs, $984.55, less $6,264.55 deduc- 
tion for rent and interest; Ottawa Amateur Athletic Association, $76,000, interest, April 1, 
1940 to Aug. 29, 1941, $5,361.64, taxed costs, $762.05. 

D Award to R. L. & R. Blackburn, $105,000, taxed costs, $75; M. Brading, $6,872, interest, 
Aug. 20, 1938 to May 20, 1941, $944.19, taxed costs, $60; R. W. Burman, $2,600, interest, 
June 4, 1940 to June 18, 1941, $134.99, taxed costs, $75; Estate of C. H. Cochrane. $12,500. 
taxed costs, $60; H. Finklestein, $8,500, taxed costs, $75; E. P. Hall. $3,400, taxed costs, 
$75; Estate of J. Lackey, $36,000, taxed costs, $90; Estate of J. Landreville, $23,469.55, 
taxed costs, $75; Estate of D. Manchester, $11,500, taxed costs, $60; Murphy-Gamble Ltd., 
$14,363, taxed costs, $75; H. J. Murtagh, $12,000, taxed costs, $60, less $3,000 retained for 
settlement of taxes; E. Rondeau, $10,200, taxed costs, $60; St. Andrew's Church. $3,500, 
taxed costs, $60; K. & C. Shapiro, $20,600, taxed costs, $648.80; G. Sims, et al, $14,225, taxed 
costs, $75; Travers Aprons, Ltd., $3,628.33, interest, July 28, 1938 to Dec. 12, 1941. $612.33, 
taxed costs, $75; Union Realty Co., Ltd.. $19,500, interest July 1, 1940 to May 16, 1941, 
$852.12, taxed costs, $75, less $664.51 for net rents collected. 



Halifax Shipyards Ltd., Consolidated Revenue and Audit Act, c.27, 1931 $ 30,717 24 



"Halifax Shipyards Ltd. — $350,000" was included under Miscellaneous Current Accounts, 
Schedule "K" to the Balance Sheet of the Public Accounts 1940-41. This represented the 
balance due on the purchase of the Halifax Graving Dock and was composed of seven equal 
annual instalments of $50,000, the first being due Jan 1, 1942. 

Prepayment was made on Nov. 1, 1941, of the outstanding instalments, discount at the 
rate of three per cent per annum being allowed under Order in Council P.C. 5206, Oct. 22, 
1941. Cash payment $319,282.76; discount $30,717.24. 



SUPERANNUATION AND RETIREMENT BENEFITS 
Gratuities to families of deceased employees, Civil Service Act c.22 R.S. . .$ 7,431 64 



338 AUDITOR GENERAL'S REPORT 



SPECIAL 
CHIEF ARCHITECT'S BRANCH 



Vote 316 Construction, Repairs and Improvements of Public Buildings 256,000 00 

Vote 515 Further amount required 370,000 00 

626,000 00 
Expenditures 571,715 49 

Lapsed $ 54,284 51 

Estimates 

details Expenditures 



A To close out contracts 590,000 00 545,819 35 

B Toronto, Postal Station "A" 36,000 00 25,896 14 



$ 626,000 00 $ 571,715 49 



500 00 


2,020 19 


444 00 


81 50 


187,828 29 


50 00 


118 00 


286 00 


268 86 


353,475 31 


500 00 


197 20 


50 00 


$ 545,819 35 



Comments on Expenditures 

A There were no specific allotments. The following works undertaken in previous years were 
completed during the year : — 

Chester, N.S., Public Building 

Lockeport Public Building 

Tatamagouche Public Building 

Armstrong, Que., Building for Customs and Immigration purposes 

Quebec Postal Terminal '. 

St. Henri de Lauzon Public Building 

St. Ours Public Building . .-. 

Sutton Public Building 

Ottawa, Statue of the late Sir Arthur Doughty 

Ottawa, Building for Supreme Court 

Toronto, Christie St. Hospital 

Lanigan, Sask., Public Building 

Merritt, B.C., Public Building 



Chester — Amount withheld from contract in 1940-41. 

Lockeport— By authority of P.C. 9832 of Dec. 16, 1941, a further claim of $1,680.19 has 
been paid contractor H. A. Keddy for closing down of contract. In addition $190 withheld 
in 1940-41 was paid to the contractor. Erecting fence, cleaning up site, etc., cost $150. 

Tatamagouche — The sum of $420 withheld from M. A. Condon in 1940-41 was paid during 
the fiscal year and $24 for cleaning up site. 

Armstrong — Amount withheld from contract in 1940-41. 

Quebec — Previous appropriations and allotments for this building amounted to 
$1,493,711.59 and $931,281.11 had been spent prior to April 1, 1941. Construction has been 
completed by Concrete Construction Ltd. at a contract price of $951,369 plus $55,221.54 for 
extra work and changes, of which $867,619.87 had previously been paid. Conveyor 
machinery was installed by the Mathews Conveyor Co. at a contract price of $27,997 
and extras amounting to $982.20. Fees totalling $51,147.47 have been paid to architect 
R. Chenevert, of which $46,393.23 had already been paid. By authority of P.C. 3292 of 
Jan. 4, 1939, the sum of $18,937.82 has been paid to the City of Quebec as compensation 
for various changes re exchange of land. Of this amount $5,000 was paid in 1938-39. 
Other expenses amounted to $1,186.36. 

St. Henri de Lauzon — Right of way for septic tank overflow. 

St. Ours — Amount withheld from contract in 1940-41. 

Sutton— By authority of P.C. 3653 of May 23, 1941, the sum of $286 has been paid 
Fortin & Frere for additional expense due to closing down of contract, which was later 
completed. 

Ottawa, statue of the late Sir Arthur Doughty — Amount detailed in 1940-41. 



DEPARTMENT OF PUBLIC WORKS 339 

Ottawa, Supreme Court — Previous appropriations and allotments for this building 
amounted to $3,062,301.59 and $2,744,047.46 had been spent prior to April 1, 1941. The 
building has been completed by Anglin-Norcross, Ont. Ltd., at a contract price of 
$2,550,000 plus $320,244.34 for extra work and changes. Of this amount $2,521,540 had 
previously been paid and $8,000 is withheld for completion of certain items. In addition 
to contract Anglin-Norcross were paid $3,859 for sundry alterations and additions. Pay- 
ments to architect E. Cormier on account of original contract and extras were $143,376.82 
and $943.24 for extra work and changes. Of this amount $135,008.09 had already been paid 
and $400 is withheld. 

Toronto— Amount withheld in 1940-41 (page 310). 

Lanigan, Sask.— By authority of P.C. 4629 of June 24, 1941, the sum of $197.20 has 
been paid Carter-Halls-Aldinger Co., Ltd., for additional expense due to closing down of 
contract, which was later completed. 

Merritt, B.C.— Amount withheld in 1940-41. 

B Toronto, Postal Station "A" — Mathews Conveyor Co. Ltd., were paid $25,836.30 on account 
of $39,845 contract for conveyor machinery. 



CHIEF ENGINEER S BRANCH 

Vote 317 Construction, Repairs and Improvements — To close out 

contracts . . 357,000 00 

Expenditures 248,864 . 58 

Lapsed $ 108,135 42 



Comments on Expenditures 

Arisaig, N.S., breakwater extension:— R. M. Hall contract w T as closed out May 24, 1940, 
and reopened July 30, 1940. During 1941-42 the contractor was ] aid $706.28 for material 
on site and $967.36 is held. Inspection cost $8.50. 

Brooklyn. X.S., repairs and improvements to breakwater: — J. P. Porter and Sons Limited 
completed their contract for $194,084.76 less $124,151.63 paid in previous years. They were 
paid also 83,604.49 authorized by P.C. 1757 of Mar. 9, 1942, to cover losses sustained owing 
to shut-down of work May 24, 1940 to July 11, 1940. 

Charlottetown, P.E.I. , repairs and improvements to railway wharf: — The contract of 
J. P. Porter and Sons Limited was closed out May 24, 1940, and $18,978.80 was paid to cover 
claim due. 

Lome Dry Dock, Que.: — J. Bertrand completed the contract for new powerhouse, 
pumphouse equipment, machine shop, etc., for the sum of $213,186 less $210,986 paid in 
previous years. 

Riviere Xoire (St. Simeon), Que., wharf construction: — Alphonse Montminy's contract 
was closed out May 24, 1940, and reopened on June 25, 1940. During 1941-42 $343.55 was 
authorized by P.C. 5171 of July 15, 1941, and paid to cover expenses incurred as a result of 
the stoppage of work. 

Hamilton, Ont.. terminal for Harbour Commission: — Russell Construction Company's 
contract was closed out May 24, 1940, and reopened by P.C. 3825, August 31, 1940. During 
1941-42 811.660.84 was paid to cover expenses due to temporary shut-down of the work. 

Picnic Island, Ont., dredging of the western entrance to Little Current Channel:— 
Canadian Dredge and Dock Company was paid $S,678.60 authorized by P.C. 1122 of Feb. 13, 
1942, to cover expenses due to shut-down of work. 

Port Arthur, Ont., Canadian Dredge and Dock Company completed a contract for dredg- 
ing at a cost of 8137,095.90 of which $S6,692.77 was paid in previous years. An additional sum 
of S5.314.S4 to cover expenses owing to work being closed down between May 25 and August 
15, 1940. was authorized by P.C. 1122 of Feb. 13, 1942, and paid. They were paid also 
$45,547.91 for the same reason on account of their contract for extension to rubble mound 
breakwater. 

South Baymouth, Ont., dredging an approach to Channel: — Canadian Dredge and Dock 
Company were paid 81.484.51 authorized by P.C. 1122 of Feb. 13, 1942, to cover expenses 
caused by shut-down of work. 



340 AUDITOR GENERAL'S REPORT 

Vote 111 Department of Labour — To provide for Relief Projects 370,000 00 

Expenditures 289,413 10 

Lapsed $ 80,586 90 



Comments on Expenditure 

Allotment was for construction of an intercepting sewer, etc., at Quebec City. 

A contract was awarded to Clovis Beaudet on October 12th, 1939, for $295,580.39. This 
contract was subsequently cancelled by Order in Council before any work had been done. 

A new contract was awarded to Pacifique Marcotte on February 9th, 1940, for $317,410.50. 
Marcotte abandoned contract after he had done $51,053.77 of the work. He was paid $1,390 
in 1939-40 and $23,200 in 1940-41. The department took over his security deposit, balance due 
on work done and plant and equipment amounting to $84,038.65. An additional amount of 
$26,463.77 was paid to sundry creditors for J. E. Laguerre assignee of P. Marcotte in 1940-41. 

A third contract was awarded on December 12th, 1940, to J. A. Auclair for $347,851.30. 
The contractor has completed work valued at $279,901.65 and has been paid on account 
$256,128.92. Departmental materials valued at $17,467.32 have been used and deducted from 
gross estimate due contractor. 

Fees and sundr}^ expenses amounting to $55,752.04 have been paid to the engineers, 
Arthur Surveyor and Co., of which $24,440.27 was paid in previous years. 



Exchequer Court Awards, Exchequer Court Act, c. 34 R.S $ 40,479 85 



Comments on Expenditures 

At Fryer's Island Dam awards were: Mr. Geo. Fryer, $11,000 less $1,200, $1,225 and 
$9,598.28 already paid, interest, Jan. 3, 1938 to April 8, 1941, $1,484.23, Supreme and 
Exchequer Courts interest costs, $51.09; J. M., J. T. and M. A. Fryer, three awards, $5,305.90, 
$2,288.60 and $2,288.60, interest, Jan. 3, 1938 to May 30, 1941, $797.35, $343.91 and $343.91, 
Supreme and Exchequer courts taxed costs and interest, $1,213.08; L. P. Granger, $8,800 less 
$1,650 already paid, interest, Jan. 3, 1938 to April 30, 1941, $1,236.99, Supreme and Exchequer 
Courts taxed costs and interest, $1,645.76; R. Messier, $6,583.32, interest, Jan. 3, 1938 to 
May 3, 1941, $1,018.09, Supreme and Exchequer Courts taxed costs and interest, $605.28; 
L. Perrault, $7,211, interest, Jan. 3, 1938 to May 3, 1941, $1,093.18, Supreme and Exchequer 
Courts taxed costs and interest, $842.84. 



ROYAL CANADIAN MOUNTED POLICE 
REVENUES 

Summary 1941-42 1940-41 

Ordinary Revenue- 
Officers Pension Fund 13,549 70 11,247 32 

Casual Revenue 991,507 21 1,134,079 44 

Fines and Forfeitures 41,727 99 23,083 04 

$1,046,784 90 $1,168,409 80 



Compared with 1940-41 revenues for 1941-42 show a decrease of $121,624.90. The 
increase in that year, however, was due largely to collection of arrears for policing services. 



Details 



Officers Pension Fund — 

Abatements from Pay of Force 
Abatements from Pensions .... 



12,678 53 
871 17 



Casual Revenue — 

Contributions from R.C.M. Police Provincial Trust Fund. . . . 13,664 50 
Refund of previous year's expenditures: 

Other Federal Departments 9,586 99 

Sundry 10,599 47 

Proceeds from sales 5,406 25 

Repayments for police services : 

Assiniboia, Saskatchewan, 12 m. to November 30, 1942 1,000 00 

Flin Flon, Manitoba, 12 m. to September 30, 1942 3,000 00 

Extras 1,000 00 

Herbert, Saskatchewan, 6 m. to July 14, 1942 400 00 

Humboldt, Saskatchewan, 12 m. to April 30, 1942 1,500 00 

Kindersley, Saskatchewan, 12 m. to November 30, 1942 800 00 

Melfort, Saskatchewan, 6 m. to September 14, 1942 750 00 

Melville, Saskatchewan, 12 m. to December 31, 1941 3,000 00 

Rental, 12 m. to December 31, 1941 300 00 

Yorkton, Saskatchewan, 8 m. to April 30, 1942 3,000 00 

Province of Alberta, 12 m. to March 31, 1942 250,000 00 

Extras, 12 m. to March 31, 1942 25,000 00 

Province of Manitoba, 12 m. to March 31, 1942 150,000 00 

Province of New Brunswick, 12 m. to March 31, 1942 100,000 00 

Province of Nova Scotia, 12 m. to November 30, 1941 115,000 00 

Province of Prince Edward Island, 12 m. to May 31, 1942. . . 20,000 00 

Province of Saskatchewan, 12 m. to March 31, 1942 275,000 00 

Outstanding from previous year 2,500 00 

Fines and Forfeitures — 

Foreign Exchange Control Board Regulations 40,761 66 

Criminal Code of Canada 165 00 

Defence of Canada Regulations 203 13 

Small Loans Act 500 00 

Seized Money 98 20 



13.549 70 



991,507 21 



Certified correct. 



S. T. WOOD, 
Commissioner, R.C.M P. 



41,727 99 

$1,046,784 90 

In accordance with the provisions of 
Section 45 (1) of the Consolidated Revenue 
and Audit Act I have- satisfied myself that 
the above revenues for 1941-42 have been 
accounted for. 

WATSON SELLAR, 
Auditor General. 



341 



342 AUDITOR GENERAL'S REPORT 

Comments on Revenues 

A Officers' Pension Fund. This revenue consists of deductions from the pay of com- 
missioned officers of the force, and from the pensions of officers who have been retired, 
in accordance with Section 49, Chapter 160, R.S. 1927. 

B Contributions from R.C.M. Police Provincial Trust Fund. Sections 8 and 12, Chapter 
8, R.C.M. Police Act, 1934, recognize a constable's or officer's prior service with the 
Provincial Police Forces which have been taken over by the R.C.M. Police in accordance 
with Section 5, Chapter 160, R.S. 1927. Payment for this prior service is collected from 
the Provinces and from members of the Force and credited to a special trust account. 
The pensions of these men are a direct charge to the Consolidated Fund. The amount 
to the credit of each man when pensioned is transferred to Casual Revenue. The amount 
transferred in 1941-42 was $13,664.50. 

C Refund of Previous Years Expenditures. Included in the sundry total of $10,599.47 
are the following: return of empty oil containers, $3,852.75; refund of Provincial gasoline 
tax, $3,041.66; repayment by Provinces for various investigations, $1,379.75; damage to 
police cars deducted from pay of members concerned, $732.09. 

D Proceeds from Sales. Included in the total of $5,406.25 are the following: sale of 13 
police cars, $3,063; used tires and tubes, etc., $1,485.25. 

E Repayments for police services. The repayments are in accordance with the agree- 
ments between the Dominion of Canada and the Municipalities and Provinces and are 
approved by the Governor in Council. The various agreements are as follows: 

F Assiniboia, Saskatchewan. Order in Council 286 of February 9, 1939, and an agreement 
dated December 11, 1941, provide for policing from December 1, 1941 to May 31, 1943, 
subject to 6 months' notice of cancellation; payment to be $1,000 annually, with an increase 
from the agreed strength of 1 at the rate of $1,000 per man. 

G Flin Flon, Manitoba. Order in Council 286 of February 9, 1939, and an agreement 
dated August 15, 1940, approve policing from April 1, 1940, to March 31, 1945, subject 
to 6 months' notice of cancellation; payment to be $3,000 annually, with an increase or 
decrease from the agreed strength of 3 at the rate of $1,000 per man. 

H Herbert, Saskatchewan. Order in Council 286 of February 9, 1939, and an agreement 
dated January 12, 1942, provide for policing from January 15, 1942, to May 31, 1943, subject 
to 6 months' notice of cancellation; payment to be $800 annually, with an increase from 
the agreed strength of 1 at the rate of $1,000 per man. 

I Humboldt, Saskatchewan. Order in Council 286 of February 9, 1939, and an agreement 
dated April 3, 1941, provide for policing from May 1, 1941, to May 31, 1943, subject to 
6 months' notice of cancellation; payment to be $1,500 annually, with an increase or 
decrease from the agreed strength of 2 at the rate of $1,000 per man. 

J Kindersley, Saskatchewan. Order in Council 286 of February 9, 1939. and an agree- 
ment dated December 11. 1941, provide for policing from December 1, 1941. to May 31, 
1943, subject to 6 months' notice of cancellation; payment to be $800 annually, with 
an increase from the agreed strength of 1 at the rate of $1,000 per man. 

K Melfort, Saskatchewan. Order in Council 286 of February 9, 1939. and an agree- 
ment dated May 15, 1942, provide for policing from March 15, 1942, to May 31, 1943, subject 
to 6 months' notice of cancellation; payment to be $1,500 annually, with an increase or 
decrease from the agreed strength of 2 at the rate of $1,000 per man. 

L Melville, Saskatchewan. Order in Council 3078 of December 15, 1937, approves policing 
from August 16, 1937, to July 31, 1942, subject to 6 months' notice of cancellation; pay- 
ment to be $3,000 annually plus proportionate cost of rentals, with an increase or decrease 
' from the agreed strength of 3 at the rate of $1,000 per man. 

M Yorkton, Saskatchewan. Order in Council 286 of February 9, 1939, and an agreement 
dated September 1, 1941, provide for policing from September 1. 1941, to May 31, 1943, 
subject to 6 months' notice of cancellation; payment to be $4,500 annually, with an 
increase or decrease from the agreed strength of 5 at the rate of $1,000 per man. 

N Province of Alberta. Order in Council 1766 of July 17, 1936, approves policing from 
June 1, 1935, to May 31, 1940, and unless one year's notice is given prior to May 31, 
1940, shall continue in force until such notice is given; payment to be $250,000 annually, 
with an increase or decrease from the agreed strength of 250 at the rate of $1,000 per man. 



ROYAL CANADIAN MOUNTED POLICE 343 

O Province of Manitoba. Order in Council 2053 of May 21, 1940, approves policing from 
April 2, 1940, to April 1, 1950, and unless one year's notice is given prior to April 1, 
1950, shall continue in force until such notice is given; payment to be $150,000 annually, 
with an increase or decrease from the agreed strength of 150 at the rate of $1,000 per man. 

P Province of New Brunswick. Order in Council 1068 of May 14, 1937, approves policing 
from April 1, 1937, to March 31, 1942, or until one year's notice is given; payment to be 
$100,000 annually, with an increase or decrease from the agreed strength of 100 at the 
rate of $1,000 per man. 

Q Province of Nova Scotia. Order in Council 1894 of August 4, 1936, approves policing 
from June 1, 1935, to May 31, 1936, and unless 3 months' notice is given prior to May 31, 
1936, shall continue in force until such notice is given; payment to be $115,000 annually, 
with an increase or decrease from the agreed strength of 115 at the rate of $1,000 per man. 

R Province of Prince Edward Island. Order in Council 1947 of July 16, 1935, approves 
policing from June 1, 1935, to May 31, 1940, and unless one year's notice is given prior 
to May 31, 1940, shall continue in force until such notice is given; payment to be $20,000 
annually, with an increase or decrease from the agreed strength of 20 at the rate of 
$1,000 per man. 

S Province of Saskatchewan. Order in Council 842 of April 6, 1936, approves policing from 
June 1, 1936, to May 31, 1943, or until one year's notice is given; payment to be $275,000 
annually, with an increase or decrease from the agreed strength of 275 at the rate of 
$1,000 per man. 

APPROPRIATIONS AND EXPENDITURES 

A total of $6,141,549.74 was available for expenditure on account of the Royal Canadian 
Mounted Police, of which $5,769,256.40 was provided in the annual appropriation acts, and 
$372,293.34 was authorized by continuing statutory provisions. Expenditures were $5,984,663.60 
for the fiscal year 1941-42, an increase of $430,653.34 over those of $5,554,010.26 in 1940-41 
In addition, a total of $3,209,074.93 was allotted to the Department from the War Appro- 
priation. 

No. of 
Vote Services Appropriations Expenditures Lapsed 

318\ General Administration 232,339 75 207,391 73 24 948 02 



516/ 

319\ Land Services — Arising out of the 
*517/ Royal Canadian Mounted Police 
Act, enforcement of Federal 
Statutes generally, and other in- 
cidental expenses 5,509,746 75 5,380,628 17 129,118 58 

320 Grant to Chief Constables Associa- 

tion of Canada 500 00 500 00 

Compassionate Grant — 

518 Edward Crowell, Wolfville, N.S... 5,000 00 5,000 00 

519 Roy Harbottle, Nisku, Alberta . . 56 85 ' 56 85 

PENSIONS AND OTHER BENEFITS 

321 To compensate members of the 

Royal Canadian Mounted 
Police for injuries received in the 
performance of duty 11,749 i 6 9717 17 2 031 gg 

322 Pensions to Mounted Police, Prince 

Albert Volunteers and Police 
Scouts on account of the Rebel- 
lion of 1885 83 95 41 M 42 Q1 



344 AUDITOR GENERAL'S REPORT 

No. of 
Vote Services Appropriations Expenditures Lapsed 

323 Pensions to families of members of 

the Mounted Police who have lost 

their lives while on duty — 
Mrs. Mary Emma Bossange.$456 25 
Mrs. Marg. Johnson Brooke 821 25 

Mrs. Margaret Cox 440 63 

Mrs. Georgina Harrison 676 50 

Mrs. Letitia Kennedy 423 50 

Mrs. Nora Jean Massan 300 00 

Mrs. Mary Miller 667 38 

Mrs. Margaret Nicholson 547 50 

Mrs. Catherine Mildred Ralls 735 25 
Mrs. Myrtle L. Richards.... 720 00 
Mrs. Doris Freda Sampson. . 816 00 

Mrs. Amy Lillian Searle 406 98 

Mrs. Madelaine Mary 

Shoebotham 810 00 

Mrs. Eunice Wainwright ... 602 50 

8,423 74 7,678 28 745 46 

324 Pension to James Elliott 672 00 672 00 

.325 Pension to Basil Burke Currie 684 20 684 12 08 

Statutory Pensions under the Royal Canadian 

Mounted Police Act, c. 160, R.S.. . 372,293 34 372,293 34 

Total Ordinary Expenditures $6,141 ,549 "74 $5,984,663 60 $ 156,886 14 



These accounts have been examined and 
Certified correct. audited under my direction, in accord- 

ance with the provisions of the Consolidated 
B. G. McINTYRE, Revenue and Audit Act, and subject to 

Comptroller of the Treasury. the observations in this report, I certify 

that in my opinion they are correct. 

WATSON SELLAR, 

Auditor General. 

Vote 318 General Administration 216,503 00 

Vote 516 Further amount required 15,836 75 

232,339 75 
Expenditures 207,391 73 

Lapsed $ 24,948 02 

Estimates 
details 

A* Salaries 54,285 00 

B Pay and Allowances 152,019 75 

C Housing and Quarters 14,100 00 

D Clothing and Equipment 4,935 00 

E Medical Services 500 00 

F Travelling Expenses and Transportation of 

Persons 5,000 00 

G Provisions and Billeting 1,500 00 

$ 232,339 75 



Allotments 
authorized 


Expenditures 


54,285 00 

152,019 75 

14,100 00 

4,935 00 

500 00 


51,644 82 

140,792 07 

11,129 16 

1,730 65 


5,000 00 
1,500 00 


2,095 03 


$ 232,339 75 


$ 207,391 73 



ROYAL CANADIAN MOUNTED POLICE 345 

Comments on Expenditures 

A As of March 31, 1942, there were 24 employees paid from this vote. The following were 
receiving annual salaries of §2,400 or over on that date: A. J. Anderson, $2,700; M. H. 
Arnoni, $2,880; G. T. Hann, $4,500; J. A. Lynch, $3,420; E. A. Ranger, $2,400; A. H. 
Tremblay, $2,400; I. Zivian, $4,320. 

B Rates of pay and allowances are authorized by the Governor in Council under the 
provisions of the Royal Canadian Mounted Police Act. Order in Council 103/2454 of 
April 9, 1941, approved the following new rates of pay, for all members of the force, 
effective April 1, 1941:— 

New rates Old rates 

Rank Per annum rates of pay 

Commissioner $10,000 $10,000 

Deputy Commissioner 4,500 4,500 

Assistant Commissioners — 6 3,600 3,600 

Assistant Commissioners 3,600 2.850-S3.250 

Superintendent, Surgeon, Veterinary Surgeon 2,720-$3,120 2,250- 2,650 

Inspector, Detective Inspector, Assistant Surgeon, 

Assistant Veterinary Surgeon 2,140- 2,540 1,650- 2,050 

Sub-Inspector 2,000 1,550 

Per diem rates of pay 

Staff-Sergeants, Sergeant-Majors— 12 4 50 3 75 

Staff-Sergeants, Sergeant-Majors 4 00 3 25 

Sergeant 3 75 3 00 

Corporal 3 00 2 50 

Lance Corporal Deleted 2 35 

First Class Constable 2 50- 2 75 2 00- 2 25 

Second Class Constable 2 25 1 75 

Third Class Constable 2 00 1 50 

Sub Constable, Trumpeter 1 75 max. 1 25 max. 

The following was the administration strength in the various commissioned and non- 
commissioned ranks on March 31, 1942: 1 commissioner, 1 deputy commissioner, 2 assistant 
commissioners, 3 superintendents, 7 inspectors, 7 sergeant-majors and staff-sergeants, 8 
sergeants, 19 corporals, 7 constables. As at March 31, 1942, or at date of separation (shown 
in brackets) the officers were in receipt of the following rates of pay: S. T. Wood, com- 
missioner, $10,000; R. Armitage, $2,540; E. W. Bavin, $3,120 (May 10); F. A. Blake, $3,120; 
H. R. Butchers, $2,340; R. L. Cadiz, $4,500; K. Duncan, $3,120; P. R. Forde, $3,120; 
J. Fraser, $2,340; A. Goodman, $2,540; P. Hobbs, $2,540; E. H. Perlson, $2,140; D. C. Saul, 
$2,540; R. R. Tait, $3,600; J. M. Tupper, $3,600. In addition to pay, officers are in receipt 
of the following allowances, which are paid out of this allotment; extra pay, general living 
allowance, ration allowance, rent allowance to officers who own their own homes, and retiring 
allowance, all paid in cash. 

C This allotment includes payments for electric light, electric power and fuel for the private 
quarters of officers, also rent for private quarters of officers who live in leased apartments 
or houses. These payments ,together with any allowances received under Allotment B are 
in addition to the amounts shown after the officers' names in Allotment B. 

Vote 319 Land Services — Arising out of the Royal Canadian Mounted 
Police Act, enforcements of Federal Statutes generally, 
and other incidental expenses 5,034,041 00 

Vote 517 Further amount Required 475,705 75 

5,509,746 75 
Expenditures 5,380,628 17 

Lapsed $ 129,118 58 

59727—23 



346 



AUDITOR GENERAL'S REPORT 



Estimates 
details 

Salaries 84,560 00 

Pay and Allowances 3,573,595 25 

Housing and Quarters 404,847 00 

Clothing and Equipment 200,287 50 

Medical Services 5,000 00 

Travelling Expenses, including Investiga- 
tions and Equipment 451,500 00 

Provisions and Billeting 120,000 00 

Mechanical Transport 323,270 00 

Freight and Express 74,400 00 

Printing and Stationery and Office Equip- 
ment and Communications 188,650 00 

Air, Land, Water, Horse and Dog Trans- 
port 57,887 00 

Contingencies' 25,000 00 

Construction or Acquisition 750 00 

$5,509,746 75 



Allotments 
authorized 


Expenditures 


84,560 00 

3,573,595 25 

404,847 00 

200,287 50 

5,000 00 


72,086 22 

3,498,719 82 

404,847 00 

200,287 50 

1,291 15 


451,500 00 

120,000 00 

323,270 00 

74,400 00 


451,500 00 

120,000 00 

323,270 00 

56,688 97 


188,650 00 


188,650 00 


57,887 00 

25:000 00 

750 00 


38,287 51 
25,000 00 


$5,509,746 75 


$5,380,628 17 



Comments on Expenditures 

In addition to the vote reported above, the Governor in Council allotted $3,209,074.93 
from the War Appropriation to the R.C.M. Police for pay, allowances, etc., to be expended 
in accordance with the War Appropriation Act of 1941. The combined expenditures charge- 
able to Vote 319, 517 and to the War Appropriation totalled $8,381,998.35, of which 
13,001,370.18 was expended from the war allotment. As these expenditures are for similar 
purposes, the comments that follow refer to the total expenditure. 

In addition to the revenues reported in the Revenue Section, refunds from various 
sources to the amount of $386,195.11 were credited to these Votes during the year. The 
sources and amounts of a number of these refunds are as follows: — 

Sale of cloth to firms tailoring uniforms, caps, etc., for resale to R.C.M. Police. $ 73,036 18 

Police protection for Bank of Canada 40,612 33 

Fire Protection, Dominion Public Buildings 15,000 00 

Assistance to Remission Branch, Department of Justice 10,010 01 

Mileage costs of police cars on investigations 28,320 80 

Provincial gasoline tax 13,439 87 

Travelling and investigation expenses, Department of National Revenue 24,378 92 



A As of March 31, 1942, there were 54 employees paid from this vote. No employee was 
receiving an annual salary of $2,400 or over on that date. 

B This allotment provides for the pay and allowances, at rates set by the Governor in 
Council and referred to under Vote 318, of the commissioned officers appointed by the 
Governor in Council, and non-commissioned officers, constables and special constables 
appointed by the Commissioner. The following was the strength in the various com- 
missioned and non-commissioned ranks at March 31, 1942; 6 assistant commissioners, 
16 superintendents, 1 surgeon, 50 inspectors, 17 acting assistant surgeons, 8 sub-inspectors, 
45 sergeant-majors and staff-sergeants, 164 sergeants, 416 corporals, 2,083 constables, 1,642 
special constables. As at March 31, 1942, or at date of separation (shown in brackets), 
the officers were in receipt of the following rates of pay: F. W. Allan, $2,540; N. Anderson, 
$2,240; M. F. E. Anthony, $2,340; C. Batch, $2,240; F. P. Baxter, $2,540; A. T. Belcher, 
$2,540; R. Bettaney, $2,540; G. Binning, $2,540; A. G. Birch, $2,540; J. D. Bird, $2,920; 
J. P. Blakeney, $2,540; R. C. Bowen, $2,340; J. T. Brown, $2,140; W. V. M. Bruce. $3,120; 
J. Brunet, $2,540; S. Bullard, $2,490; E. Carroll, $2,540; T. B. Caulkin, $3,600; T. W. 
Chard, $2,000; A. S. Cooper, $3,120; N. Courtois, $2,340; H. H. Cronkhite, $2,000; G. J. M. 
Curleigh, $2,540; H. Darling, $2,720; W. R. Day, $3,120; A. Drysdale, $2,540; A. N. 
Eames, $3,120; F. T. Evens, $2,440; O. P. Farthing, $2,540; G. W. Fish, $2,540; D. O. 
Forrest, $2,000; H. M. Fowell, $2,720; E. G. Frere, $3,120; J. Fripps, $2,540; E. D. Fryett, 
$2,000; H. A. R. Gagnon, $3,120; C. K. Gray, $3,120; W. C. Grennan, $2,540; W. F. W. 



ROYAL CANADIAN MOUNTED POLICE 347 

Hancock, $3,600; C. W. Harvison, $2,240; J. Healey, $2,240; C. H. Hill, $3,600; J. Howe, 
$2,440; T. B. Hutchings, $2,540; T. H. Irvine, $3,600 (December 1); J. Kelly, $3,120; 
V. A. M. Kemp, $3,120; J. W. Kempston, $2,540; C. H. King, $4,500 (May 1); C. N. K. 
Kirk, $2,000; C. D. La Nauze, $3,600; 0. Lariviere, $2,240; J. R. Lemieux, $2,000; W. H. 
Lougheed, $2,440; A. G. Marsom, $2,540; D. J. Martin, $2,540; H. P. Mathewson, $2,000; 
G. B. McClellan, $2,240; D. L. McGibbon, $2,440; J. M. Mcintosh, $2,540; D. A. McKinnon, 
$2,000; F. J. Mead, $3,600; R. E. Mercer, $3,120; W. Mortimer, $2,540; L. H. Nicholson^ 
$2,920 (April 28); C. R. Peters, $2,540; M. Powers, $3,120; E. W. Radcliffe, $2,540; 
C. E. Rivett-Carnac, $2,540; E. C. P. Salt, $3,120; T. V. Sandys-Wunsch, $3,600; J. P. A. 
Savoie, $2,540; F. W. Schutze, $2,540; F. E. Spriggs, $2,540; F. A. Syms, $2,540 (February 
17); J. F. Thrasher, $2,140; H. N. Trickey, $2,240; P. H. Tucker, $3,120; W. W. Watson, 
$3,120; A. F. C. Watts, $2,540; H. W. H. Williams, $2,140; R. S. S. Wilson, $2,140; R. M. 
W T ood, $2,240; J. A. Wright, $2,540; F. W. Zaneth, $2,540. The following allowances 
are paid in cash from this allotment in addition to the amounts shown above : extra 
pay, general living allowance, ration allowance, rent allowance and retiring allowance. 
As at March 31, 1942, or at date of separation (shown in brackets) the following employed 
civilians were paid at the following rates: W. Munday, $4,200 (February 8); G. A. Trem- 
blay, $3,420; R. G. Warnock, $3,600. 

C Included in this allotment are the following: barracks supplies and repairs, electric 
light, fuel, gas, rent, water, etc., for R.C.M. Police barracks across Canada. Payments 
are also made for electric light, fuel, gas, rent, etc., for the private quarters of officers, 
which is in addition to the amount shown after their names in Allotment B. Payments 
of $5,000 or over were made to the following firms, etc., City of Regina, $10,044.04; Drake 
Gibson Coal Co., Regina, $17,634.28; Ottawa Light, Heat and Power Co. Ltd., $5,897.27. 

D This allotment includes the following: ammunition, firearms, laundry service, tailor 
shop supplies, uniforms and kit. Payments of $5,000 or over were made to the following 
firms: P. A. Alain, Ltd., Quebec, $5,496; Bates and Innes, Ltd., Carleton Place, Ont., 

, $8,558.43; Canadian Industries, Ltd., Montreal, $13,428.23; Dominion Textile Co. Ltd., 
Montreal, $17,949.88; Eagle Shoe Co. Ltd., Montreal, $8,851.50; Hartt Boot and Shoe Co. 
Ltd., Fredericton, $6,446.26; Hield Brothers, Ltd., Kingston, Ont., $5,871.31; S. S. Holden, 
Ltd., Ottawa, $6,053.93; Mercury Mills Ltd., Hamilton, $7,508.86; Montreal Cottons Ltd., 
Valleyfield, Que., $12,858.82; Paton Manufacturing Co. Ltd., Montreal, $42,974.75; John B. 
Stetson Co. (Canada) Ltd., Brockville, Ont., $8,750; Tooke Brothers Ltd., Montreal, 
$14,160.98; C. Turnbull Co. Ltd., Gait, Ont., $39,934.30; Workman Uniform Co. Ltd., 
Montreal, $65,493.26. 

E Medical attention, drugs, etc., provided for members of the force and their families, 
are administered and paid by the Department of Pensions and National Health except 
in remote detachments and in cases of emergency. 

F Included in this allotment are the following: bus and railway fares, scientific instruments; 
secret service and travelling expenses. The following firms were paid $5,000 or over: 
Canadian Kodak Sales, Ltd., Toronto, $7,243.68; Ottawa Electric Railway Co., $8,428.20. 

G Included in this allotment is the Division mess ration allowance. This is administered 
by the officers commanding the various divisions and is based on the number of meals 
served in the messes. 

H Included in this allotment are the following purchases: 122 new motor cars and 5 trucks, 
gasoline, oil and repairs to motor transport. The following firms were paid $5,000 or 
over: British American Oil Co. Ltd., $11,662.75; Dominion Motors Ltd., Winnipeg, 
$5,19S.42; Ford Motor Co. of Canada, Ltd., $21,486.95; E. J. Hunter Tire Co., Toronto, 
$5,026 .SO; McColl-Frontenac Oil Co., Ltd., $6,148.76; Super Service Stations Ltd, Halifax 
$8,516.83. 

J Included in this, allotment are the following: office equipment, postage, printing and 
stationery, telegraph and telephone services. Telephones in the private quarters of officers 
are also paid from this allotment. The Post Office Department was paid $33,620.85. 

K Included in this allotment are the following: acquisition and maintenance of dogs, horses 
and equipment, inland water transport and R.C.M. Police aviation. 

L This allotment includes the following: analysts', court and legal fees, funerals, grants, 
recreational equipment, subscriptions, etc. A grant of $1,500 was made to the R.C.M. 
Police Quarterly Magazine under authority of P.C. 99/8400 of October 29, 1941. 
59727—23J 



348 AUDITOR GENERAL'S REPORT 

General — Payments of $5,000 or over were made to the following firms: Canadian National 
Carbon Co. Ltd., Toronto, $5,805.34; Canadian National Railways, $56,961.51; Canadian 
Pacific Railway Co., $85,495.21 ; Hugh Carson Co. Ltd., Ottawa, $6,394.81 ; City of Edmonton, 
$6,920.59; Department of National Defence, $22,259.26; Hudson's Bay Co., $13,376.92; 
Imperial Oil, Ltd., $17,886.02; Irving Oil Co. Ltd., $5,327.07; King's Printer, Ottawa, 
$143,456.78; Northern Alberta Railway Co., Edmonton, $5,567.77; Northern Transportation 
Co. Ltd., Edmonton, $13,123.93; Woods Manufacturing Co. Ltd., Ottawa, $10,458.26. 

Vote 320 Grant to the Chief Constables Association of Canada $ 500 00 



Vote 518 Compassionate Grant — Edward Crowell, Wolfville, N.S $ 5,000 00 



Comments on Expenditures 

This vote was provided to compensate Edward Crowell, Wolfville, N.S., in full settle- 
ment for claims arising out of an accident involving a Royal Canadian Mounted Police 
car on October 12, 1938. 

Vote 519 Compassionate Grant — Roy Harbottle, TSiska, Alta $ 56 85 



Comments on Expenditures 

This vote was provided to compensate Roy Harbottle for damages to his father's 
car, sustained while following chicken thieves. 

PENSIONS AND OTHER BENEFITS 

Vote 321 To compensate members of the Royal Canadian Mounted 

Police for injuries received in the performance of duty. . . . 11,749 16 

Expenditures 9,717 17 

Lapsed $ 2,031 99 



Vote 322 Pensions to Mounted Police, Prince Albert Volunteers and 

Police Scouts on account of the Rebellion of 1885 83 95 

Expenditures 41 94 

Lapsed $ 42 01 



Vote 323 Pensions to families of members of the Mounted Police who 

have lost their lives while on duty 8,423 74 

Expenditures 7,678 28 

Lapsed $ 745 46 



Vote 324 Pension to James Elliott 672 00 

Expenditures $ 672 00 



Vote 325 Pension to Basil Burke Currie 684 20 

Expenditures 684 12 

Lapsed $ 08 



Pensions under the Royal Canadian Mounted Police Act, c. 160, Part 

III, R.S $ 372,293 34 



DEPARTMENT OF SECRETARY OF STATE 

REVENUES 

Summary 1941-42 1940-41 

Ordinary Revenue — 

Patent and Copyright Fees 407.275 15 400,266 56 

Casual Revenue 168,594 75 197,559 92 

Fines and Forfeitures 1,812 00 25 00 



$ 577.681 90 $ 597,851 48 
Details - - 

Patent and Copyright Fees — 
A Patents: Amendments after allowance, $1,230; assignments, $20,846.17; attor- 
ney's registration. $280.60; caveats, $1,328; claims, $4,276.82; copies, $6,339.74; 
filing fees, $144,996; final fees, $163,495; granting of licences under section 3 
(emergency order), $320; petitions under section 40, etc., $25; reinstatement of 
applications, $405; re-issue of patents, $720; representative, $16; restoration of 
applications, $1,425; searches, $198; subscriptions to Patent Record, $4,459.31; 

sundries, $41.22 350,401 86 

B Trade Marks: Assignments, $1,905.95; copies, $500.30; Exchequer Court, $5; 
notices, $95; records (to amend), $444.80; renewal of trade marks, $4,804.97; 
suspension of rights under section 6 (emergency order), $470; trade marks, 

$33.812.75 ; sundries, $30.29 42,069 06 

C Copyrights and Designs: Assignments, $618.87; copies, $58.25; copyrights, 
$10,428.35; designs, $1,358; granting of licences under section 3 (emergency 
order), $1,278; renewal of designs, $1,026; timber marks, $14; sundries, $22.76. . 14,804 23 

407,275 15 
Casual Revenue — 

P Bankruptcy : Levies, $9,747.04 ; licences, $4,600.15 14,347 19 

E Companies: Certificates of deposit of by-laws, $374; certificates of filing 
prospectus, etc., $76; certificates of registration, $288; companies annual returns, 
$63,671.89; filing of financial statements, $3,636; letters patent and supplementary 
letters patent $52,574.50; surrender of letters patent, $6,020. Total $126,640.39; 
less paid to Department of Public Printing and Stationery for advertising in 

Canada Gazette, $2,309 and copies of Canada Gazette, $73 124.258 39 

F Naturalization: Certificates and certified copies of certificates of naturalization 
and retention of British nationality, $26,562.11; remittances on account of fees 
in excess of authorized allowance by clerks of the court, H. McCulloch, Hamilton, 

Ont., $410 26,972 11 

G Registration : Certificates of authentication and exemplification of letters 
patent, $178.25; certificates of formation of boards of trade, $10; certificates of 
registration of trade unions, $20; certificates, copies and certified copies, $1,893.80; 

commissions under the Great Seal, $415 2,517 05 

Various : Confiscated funds of prisoner of war, $50 ; refund of costs in connection 
with court case, $225.10; refund of previous year's expenditure, salaries, $30.42; 
sale of metals, Patent and Copyright office, $8; searches, $175.75; sundries, $10.74 500 01 

1'68,594 75 
Fines and Forfeitures — 

Recovery under authority of P.C. 10/3511 of May 15, 1941, on $34,900 judgment 
registered in favour of the Crown against the Honourable H. J. Logan, $1,810; 
damage to Government property, $2 1,812 00 



$ 577,681 90 

In accordance with the provisions of 
Certified correct. Section 45 (1) of the Consolidated Revenue 

and Audit Act I have satisfied myself that 
E. H. COLEMAN, the above revenues for 1941-42 have been 

Under Secretary of State. fully accounted for. 

WATSON SELLAR, 
Auditor General. 

349 



350 AUDITOR GENERAL'S REPORT 

Comments on Revenues 

A The tariff of fees charged under the Patent Act is set forth in the Rules and Regulations 
approved by the Governor in Council, September 26, 1935. 

B C Fees for registrations, certified copies and services rendered under the Copyright, Trade 
Mark and Design, Timber Marking and Unfair Competition Acts are prescribed by Statute; 
under the Shop Cards Registration Act by P.C. 1760 of July 26, 1938. The charges for 
licences under the Copyright Act are set by P.C. 991 of June 11, 1929. 

ABC Under the authority of the War Measures Act, Chapter 206, R. S., the Governor in 
Council, P.C. 3362 of October 27, 1939, prescribed regulations to be known as "The Patents, 
Designs, Copyright and Trade Mark (Emergency) Order, 1939". These regulations concern 
the control of licences relating to patents, registered designs or copyrights, in conformity 
with the Defence of Canada Regulations, 1939, and the Regulations Respecting Trading 
with the Enemy, 1939. The fees charged for licences under the Emergency Order were 
authorized by P.C. 3362 of October 27, 1939, and P.C. 2198 of March 31, 1941. 

D The administration of the Bankruptcy Act was transferred from the Department of Finance 
to the Department of the Secretary of State by authority of P.C. 201 of January 25, 1939. 
Under the Bankruptcy Act, the levy is determined by P.C. 360 of February 22, 1937, and 
the licence fee by the Minister. 

E Charges for services under the Companies Act are authorized by P.C. 1039 of April 30, 
1936. The cost of advertising in the Canada Gazette, notice of the granting of letters patent, 
supplementary letters patent and surrender of letters patent, required under the terms of 
the Companies Act, and the cost of issues in which such notices appear, are considered part . 
costs of the services rendered and, as such, have been deducted from the Revenue. 

F Fees charged under the Naturalization Act are authorized by P.C. 1933 of August 4, 1938. 
Remissions of naturalization fees, amounting to $50, paid from Vote 327, were made to 
veterans of the late war. 

G The fees charged under the Trade Union Act are prescribed by Statute and under the 
Boards of Trade Act by P.C. 1397 of August 22, 1924. 

APPROPRIATIONS AND EXPENDITURES 

A total of $862,846.76 was available for expenditure on account of the Department of 
Secretary of State, of which $831,536 was provided in the annual appropriation Acts. $16,868.29 
was authorized by continuing statutory provisions and $14,442.47 was transferred from the 
annual appropriations for the Department of Finance. Expenditures were $822,692.02 for the 
fiscal year 1941-42, an increase of $50,214.09 as compared with those of $772,477.93 in 1940-41. 

In addition, a total of $193,016.38 was allotted to the Department from the War Appro- 
priation. Expenditures, thereunder, amounting to $185,509.44 are shown in the War Expendi- 
tures section of this report. 

No. of 
Vote Services Appropriations Expenditures Lapsed 

Statutory Salary of the Secretary of State, 

Salaries Act, c. 182, R.S 9,972 96 9,972 96 

Statutory Motor Car Allowance to Secretary 

of State, Appropriation Act, No. 5, 

c 61, 1931 1,994 58 1,994 58 

326\ 



420/ 



Departmental Administration 93,471 20 93,229 31 241 89 



327 Naturalization Branch 60,470 00 55,654 23 4,815 77 

328 Companies Branch 45,000 00 41,725 37 3,274 63 

5 2 r Bureau for Translations 323,980 00 309,675 04 14,304 9( 

330 Trade Marks Division 25,210 00 22,082 39 3,127 61 

331 Canada Temperance Act 1,500 00 1,429 08 70 92 1 

Statutory Canada Temperance Act, c. 196, R.S. 4,080 75 4,080 75 

332 Bankruptcy Act Administration .... 35,600 00 31,560 75 4,039 & 

* Supplementary vote. 



DEPARTMENT OF SECRETARY OF STATE 351 

No. of 
Vote Services Appropriations Expenditures Lapsed 



PATENT AND COPYRIGHT OFFICE 

333 Branch Administration 35,075 00 33,98142 1,093 58 

334 Patent Division 150,800 00 148,547 93 2,252 07 

335\ Copyright and Industrial Designs 

521/ Division 16,105 00 9,496 11 6,608 89 

336) 



*420 441 f 



Patent Record 43,513 96 43,205 36 308 60 



337 Contribution to the International 
Office for the Protection of Indus- 
trial Property, International Copy- 
right Union Office and Union for 
the Protection of Literary and 
Artistic Works 2,000 00 1,983 43 16 57 

GENERAL 

68 Unforeseen Expenses, $80,000; 

transfer 13,253 31 13,253 31 

SUPERANNUATION AND RETIREMENT 
BENEFITS 

Statutory Gratuities to families of deceased 
employees, Civil Service Act, c. 22, 
R-S 820 00 820 00 



Total Ordinary Expenditures $ 862,846 76 $ 822,692 02 $ 40,154 74 



The above accounts have been examined 
Certified correct. and audited under my direction, in accord- 

ance with the provisions of the Consolidated 
B. G. McINTYRE, Revenue and Audit Act, and subject to the 

Comptroller of the Treasury. observations in this report, I certify that 

in my opinion they are correct. 

WATSON SELLAR, 
Auditor General. 

Salary of the Secretary of State, Salaries Act, c. 182, R.S $ 9,972 96 



Motor Car Allowance to Secretary of State, Appropriation Act, No. 5, c. 

61 > 1931 $ 1,994 58 



Comments on Expenditures 

Hon. P. F. Casgrain was paid from April 1 to Dec. 14 and Hon. N. A. McLarty from 
Dec. 16 to March 31. 

Vote 326 Departmental Administration 92,565 00 

Vote *420 Cost-of-Living Bonus, supplement 906 20 



93,471 20 
Expenditures 93,229 31 

Lapsed $ 241 89 



Supplementary vote. 



352 AUDITOR GENERAL'S REPORT 



Estimates Allotments 

details authorized Expenditures 



q alar ;_ 79,715 00 80,621 20 80,621 20 

Printing and "siatio'ner'y " ! .' .' .' 7,850 00 7,850 00 7,821 81 

Travelling Expenses 1,500 00 1374 16 1,277 94 

Telegrams and Telephones 2,000 00 2,525 84 2,433 94 



A 
B 

C 
D 

E Sundries 



1,500 00 1,100 00 1,074 42 



$ 92,565 00 $ 93,471 20 $ 93,229 31 



Comments on Expenditures 

A As of March 31, 1942, there were 41 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date, or at date of separation (shown 
in brackets)- E. H. Coleman, Under Secretary of State, $8,000; M..J. Birdwhistle, $3 ; 120; 
F. Corbin, $4,080 (Dec. 16) ; J. F. Delaute, $3,720; P. Deziel, $3,000; H. W. Doyle, $3,000; 

• A W Hamilton $4,080; E. Mclntyre, secretarial allowance, Dec. 16 to Mar. 31, $158.23 
(salary paid by Department of Public Works); W. P. J. O'Meara, $5,220; D. J. Shuttle- 
worth, $2,400; P. Thibault, $3,000. 

C Travelling expenses of $300 or over: Hon. P. F. Casgrain, $500; F. Corbin, $398.13. 

E Includes $548.53 for newspapers and publications. 

Vote 327 Naturalization Branch ^tVi 2! 

Expenditures 55,654 ZS 

Lapsed ; *_ 4 > 815 77 

Estimates Allotments 

details authorized Expenditures 

A q a l a H P s 49,470 00 49.470 00 48,545 26 

B Printing and Stationery \ \ . . . . 9,000 00 9,000 00 5,133 76 

C Sundries, including Telegrams, Telephones 

and Travelling Expenses 2,000 00 2,000 00 1,975 21 

$ 60,470 00 $ 60,470 00 $ 55,654 23 



Comments on Expenditures 

A As of March 31, 1942, there were 38 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date: O. Coderre, $4,200; J. E. Duggan, 
$3,000. 

C Includes $1,480, payments to clerks of the court, etc., for furnishing returns; $50, refund 
of fees to veterans of the late war; and $118.20 for legal services. 

Vote 328 Companies Branch 1?'22* *? 

Expenditures 41,715 6t 

Lapsed *__ S,274 6^ 

Estimates Allotments 

details authorized Expenditures 

a Q a i,ries 40,200 00 40,200 00 39,770 55 

B PriXng and Stationery' '. \ '. '. \ \ \ . '. 2,000 00 2,000 00 781 19 

C Travelling Expenses 1,500 00 1,500 00 783 31 

D Sundries, including Telegrams and Tele- 

phones 1,30000 1,300 00 390 32 

$ 45,000 00 $ 45,000 00 $ 41,725 37 



DEPARTMENT OF SECRETARY OF STATE 353 

Comments on Expenditures 

A As of March 31, 1942, there were 24 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date, or at date of separation (shown 
in brackets) : B. Aubrey, $2,400; W. G. Gunn, $2,640 (Jan. 1); J. P. McCaffrey, $3,000. 

C W. P. J. O'Meara received $415.07 for travelling expenses. 

D Telephones and telegrams amounted to $224.86. 

Vote 329 Bureau for Translations 308,220 00 

Vote 520 Further amount required 15,760 00 

323,980 00 
Expenditures 309,675 04 



Lapsed $ 14,304 96 

Estimates Allotments 

details authorized Expenditures 

A Salaries 315,730 00 315,730 00 304,927 31 

B Printing and Stationery 6,500 00 6,500 00 4,682 69 

C Sundries, including Telegrams and Tele- 
phones, and Travelling Expenses 1,750 00 1,750 00 65 04 



$ 323,980 00 $ 323,980 00 $ 309,675 04 



Comments on Expenditures 

A As of March 31, 1942, there were 135 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date, or at date of separation (shown in 
brackets): D. T. Robichaud, Superintendent, $5,400; X. Bailet, $2,520; L. F. Bance, $3,000 
(July 6) : J. W. Baril, $3,480; J. R. Barrette, $3,240; J. E. Bayard, $3,480; A. H. Beaubien, 
$4,140; J. C. Beauchamp, $3,480; Y. Beaulne, $2,520 (on military leave from Jan. 14); 
M. J. H. Belisle. S2.520; A. M. Belleau, $3,420; E. R. Bellemare, $3,000; H. P. Benoit, $2,520; 
E. A. Boivin, $3,000; A. E. Boucher, $2,520; E. Boucher, $2,520; E. Boudreau, $2,520; 
E. Bournival, $2,520; M. Brunet, $2,520; C. H. Carbonneau, $4,140; E. N. Castonguay, 
$3,000; L. J. Chagnon, $3,480; O. Chaput, $3,420; J. P. A. Chartrand, $3,480; J. P. Chevassu, 
S3.480; A. Cinq-Mars, $3,480; L. U. Corbeil, $2,640; P. Daviault, $3,480 (on military leave 
from Dec. 24); L. de Bellefeuille, $3,480; R. de la Durantaye, $3,480; A. Demers, $3,300; 
T. Dorion, $2,520 (June 1); E. J. Duchesnay, $3,360; C. E. Duckett, $2,520; T. Dumont, 
$3,000; C. Dumouchel, $2,400; U. Emard, $2,400; J. Falardeau, $2,520; L. P. Gagnon, $3,000; 
R. Girard, $3,480 (Feb. 1) ; G. Gosselin, $3,000; D. Goulet, $2,520; J. A. P. Hurtubise, $2,760; 
J. T. Keliher, $3,480; M. Lachaine, $3,480; C. E. Lamb, $3,480 (on military leave from 
Mar. 17); P. Larose, $2,520; J. M. Lavoie, $3,480; L. J. E. Lebel, $2,520; J. H. Lemieux, 
$3,000; J. C. Letellier, $3,000; P. E. Levesque, $3,420; L. V. Madore, $3,000; J. M. Magnant, 
S2,520; H. Marier, $3,420; J. Masson, $3,000; E. J. O. Maubach, $2,520; J. H. Mayer, $2,520; 
C. Michaud, $3,240; C. E. Mortureux, $3,420; A. D. O'Farrell, $2,400; P. G. Ouimet, $4,140; 
C. Pare, $2,880; J. E. Plante, $2,520; H. Poulin, $2,520; J. F. Renault, $3,240; J. A. Rochon, 
$2,520; R. Rumilly, $2,760; G. A. Sauve, $2,520; E. Schenck, $3,480; M. J. Schuller, $3,240; 
J. L. O. Taillefer, $2,520; J. G. Terrien, $3,480 (Apr. 6) ; P. E. Terrien, $3,420; A. Tremblay, 
$3,420; H. Vincelette, $3,420. 
One supernumerary position was added to the organization of the Bureau for Translations 

to provide for the return to the Bureau of a permanent employee who had been seconded to 

the Minister's secretarial staff. 

Under P.C. 37/1147, June 16, 1927, any employee who holds a permanent position in the 

Civil Service and has been appointed to the Minister's secretarial staff shall revert to his or her 

former classification upon the retirement of the Minister. 

Under P.C. 144/1268, May 28, 1936, which provided for the abolition of vacant positions, 

exception was made for the position vacated by an employee assigned to the Minister's secre- 
tarial staff. 

In this case the vacated position had been reclassified at a higher grade and used for the 

promotion of another employee and as a result a new position had to be created for the 

returning employee. 

59727—24 



354 AUDITOR GENERAL'S REPORT 

Vote 330 Trade Marks Division 25.210 00 

Expenditures 22,082 39 

Lapsed . $ 3,127 61 

Estimates Allotments 

details authorized Expenditures 

A Salaries 21,210 00 21,210 00 19,939 57 

B Printing and Stationery 3,000 00 3,000 00 1,795 49 

C Sundries, including Telegrams and Tele- 
phones, and Travelling Expenses 1,000 00 1,000 00 347 33 

$ 25,210 00 $ 25,210 00 $ 22,082 39 



Comments on Expenditures 

A As of March 31, 1942, there were 14 employees paid from this vote. The following was 

receiving an annual salary of $2,400 or over on that date: D. D. Ryan, $3,360. 
C Includes telegrams and telephones, $229.48, and travelling expenses of D. D. Ryan, $112.85. 



Vote 331 Canada Temperance Act 1,500 00 

Expenditures 1,429 08 



Lapsed $ 70 92 



Canada Temperance Act, c. 196, R.S $ 4,080 75 



Comments on Expenditures 

Expenses in connection with the election held in the County of Beauce, Que., Sept. 15, 
1941, under the provisions of the Canada Temperance Act amounted to $7,262.31 and were 
charged as follows: Vote 331, $1,429.08; Consolidated Fund, $4,080.75 and Vote 68, Unfore- 
seen Expenses, $1,752.48 (T.210339B. of July 25, 1941). 



Vote 332 Bankruptcy Act 35,600 00 

Expenditures 31,560 75 

Lapsed $ 4,039 25 

Estimates Allotments 

details authorized Expenditures 

A Salaries 30,200 00 30,200 00 28,056 98 

B Rent and Maintenance 2,400 00 2,400 00 2,270 40 

C Printing and Stationery 1,500 00 1,500 00 1,102 32 

D Travelling Expenses 500 00 500 00 79 16 

E Investigations, Legal Costs and other un- 
foreseen contingencies 1,000 00 1,000 00 51 89 



35,600 00 $ 35,600 00 $ 31,560 75 



Comments on Expenditures 

A As of' March 31, 1942, there were 11 employees paid from this vote. The following were 
receiving annual salaries of $2,400 or over on that date, or at date of separation (shown in 
brackets): W. J. Reilley, Superintendent of Bankruptcy, $8,000; R. W. Baillie, $2,880; 
R. T. Boult, $3,000 (June 14); J. Francis, $4,620; J. S. Larose, $2,400. 

B The amount for rent and maintenance was paid to the Department of Public Works. 



DEPARTMENT OF SECRETARY OF STATE 355 

Patent and Copyright Office 

Vote 333 Branch Administration 35,075 00 

Expenditures 33,981 42 

Lapsed $ 1,093 58 

Estimates Allotments 

details authorized Expenditures 

A Salaries 30,820 00 30,898 00 30,897 15 

B Printing and Stationery 3,500 00 3,500 00 2,807 89 

C Sundries, including Telegrams, Telephones 

and Travelling Expenses 755 00 677 00 276 38 



$ 35,075 00 $ 35,075 00 $ 33,981 42 



Comments on Expenditures 

A As of March 31, 1942, there were 14 employees paid from this vote. The following 
were receiving annual salaries of $2,400 or over on that date: J. T. Mitchell, Commissioner 
of Patents, $7,000; A. Langlois, $4,500. 



Vote 334 Patent Division 150,800 00 

Expenditures 148,547 93 

Lapsed $ 2,252 07 

Estimates Allotments 

details authorized Expenditures 

A Salaries 136,600 00 136,600 00 136,210 35 

B Printing and Stationery 13,000 00 13,000 00 11,547 86 

C Sundries, including Telegrams, Telephones 

and Travelling Expenses 1,200 00 1,200 00 789 72 



$ 150,800 00 $ 150,800 00 $ 148,547 93 



Comments on Expenditures 

A As of March 31, 1942, there were 72 employees paid from this vote. The following 
were rec